HR Trends to Watch in 2025, Part 1

It’s 2025, and things have gotten shaken up in the workplace. Check out the first part of our roundup of HR trends to watch in 2025, including the growing value of skills over education and other qualifications, and the critical importance of people analytics and AI.

Evolving Skills

Skills continue to lead the way in terms of what employers should look for when seeking top talent. The need for various skills is so crucial that employees often require additional training after completing the onboarding process. Technology drives the fast pace of skill-building, and more than 80 percent of HR leaders believe that investing in upskilling is essential in remaining competitive.

Hiring qualified candidates based on skills is a trend that you can’t afford to ignore. A recent Indeed analysis noted that between 2019 and 2024, jobs requiring a four-year degree (at minimum) dropped by 2.6 percent. Of the employers that eliminated degree requirements for at least some roles, nearly 75 percent reported hiring a candidate who previously would not have qualified.

Between labor shortages, the rise of AI and the aftermath of the pandemic, employers have learned that adaptability is more important than ever before. Employees who are adaptable can contribute to growth and innovation more than those who prefer that things stay the same. Look for candidates who are open to learning, able to communicate effectively and can make persuasive arguments.

Increasing Use of Generative AI

Generative AI, or artificial intelligence that can create content, continues to grow in usage, firming up its place on the list of HR trends. In the HR world, this tool can offer significant advantages to those willing to learn how to use it effectively. Creating job descriptions and targeted engagement initiatives, generating customized onboarding resources and visualizing employee performance data are just a few examples of what can be created quickly with AI.

Interestingly, women are less likely to utilize this resource than men. According to Forbes, half of men reported using generative AI in 2023 compared to 37 percent of females. Younger employees are even more split – male workers between 18 and 29 were 25 percent more likely to report experimentation with AI than females working in similar roles.

Closing the gender gap and opening up to the value that generative AI can bring in the workplace is certainly something to be aware of in 2025. Considering that around 70 percent of HR professionals are women, there’s some work to be done in this industry.

Offering Financial Wellness Support

Mental and physical health have been top of mind for many HR professionals when considering what wellness benefits to offer. But in 2025, financial literacy and wellness are essential to ongoing success. Feeling financially secure contributes significantly to an individual’s personal and professional life. Between 2023 and 2024, the number of employees with access to financial planning benefits at work doubled from 14 to 28 percent. It’s a benefit that today’s workers are looking for.

Personalizing financial benefits to meet the needs of employees where they are can make a big difference in utilization and value. For example, you might offer younger workers access to resources to save for a down payment on a home. Meanwhile, middle-aged to older workers will likely need more support with retirement preparation.

Level-Up Your HR Department with WorkforceHub

We’ll share additional HR trends to watch in 2025 in part two of this series, coming toward the end of the quarter. But if you want to improve your HR department and the processes in place, you need access to the right tools.

With WorkforceHub, managing employees doesn’t have to cause stress or create issues. You can automate timekeeping and scheduling, as well as manage crucial HR documents and handbooks in an easily accessible location. Empower your workers to get the information they need, when they need it. Take HR trends in stride while you manage a supportive and successful workplace.