HR Trends to Watch in 2025, Pt 2

Human resources professionals wear many hats. Along with managing the personnel workflow of the company, they are the ultimate problem solvers, intervening in company policy disputes, conflict resolution, and time management. The most successful HR departments are nimble in responding to the changing nature of the workforce. They are open to embracing the trends of the job market. Check out part two of our HR trends to watch in 2025.

Upskilling and Reskilling

The business world’s wholesale embrace of AI technologies means some jobs may become obsolete, says Bernard Marr, but “a plethora of new opportunities are emerging, demanding novel skills and competencies.” The changing landscape rewards flexible employees who are willing to learn new skills.

Upskilling is one of the HR trends to watch for 2025, and the term describes building on your current job skills to increase your competency in your current role. This ensures you can keep up with advancements in your field and be prepared for job changes as they come. Upskilling can often be achieved with mentorship, professional certification courses, webinars, or studying industry publications.

Reskilling describes learning a new set of job skills for an entirely different role. It prepares you for a career change or a new opportunity. Reskilling may be accomplished with mentorship, self-education, and time, but also may require seeking additional degrees or participating in internships or apprenticeships.

Part of the mission of HR is to identify and seek out potential. Companies who invest in reskilling or upskilling initiatives for existing employees can see a significant return on their investment, especially when they lead to better retention and increased employee satisfaction. Employee anxiety about AI or other fast-growing technologies is understandable. It may be assuaged when the company shows the human workers are valuable enough to train.

Work-Life Balance

Work-life balance has been a buzzword in the air since the pandemic altered the workforce in 2020. Good work-life balance rounds out the top three priorities for millennial and Gen Z workers. Consider some of the ways HR can play a vital role in influencing the company culture around this topic:

• Generous PTO policies. A positive company culture around PTO starts with the department that manages it. Companies can offer more time than others in their industry, implement floating holidays, loosen restrictions on what constitutes a “sick” day, or start with a generous number of vacation days and a generous system for earning more. Policies that show understanding for unexpected life interruptions like illness, childcare, and elder care can provide great peace of mind.
• Simplified benefits packages. Software is the HR department’s ally in helping employees understand their benefits clearly. Implement streamlined solutions for requesting time off, using company perks, or answering health insurance or retirement package questions.
• Breaking the cycle of overworking. Even if a company provides PTO on paper, many employees may not feel it’s possible to use the offered time. Pressure from managers, deadlines, and other colleagues can be discouraging. Even when people go on vacation, 82 percent say they still do some work, even as much as three hours per day. HR can set the tone to discourage this behavior.
• Time-management software. While time tracking can have a reputation for being a tool of micromanagement, it can actually be a valuable asset for balance by encouraging employees to sign off for the day at an appropriate time and ensure they’re being accurately compensated for all their time worked.

Immersive Online Working

Remote work options are a very attractive perk for many workers, and for some may be a deal-breaker in terms of accepting or continuing employment. Companies are about 5 years into trying different software, perfecting systems, and determining the most efficient ways to implement remote work. Even as one technology appears, another is on its heels promising a better way. It may not be cost-effective for your company to chase every new tech product that comes at you, but awareness can still be valuable.

Large companies like Deloitte and HSBC use immersive assessment technology to screen candidates for jobs. While creating such a module may not be a useful investment for your company, some of the concepts behind the shift may be: gauging situational judgment and personality of candidates, for example. Other immersive tech like augmented or virtual reality may benefit both employees and clients in certain industries.

Future Planning

With tech and the constantly evolving market, HR professionals may feel like they’re barely keeping up. That’s why, says SC Johnson’s Kimberly Hauer, “I now focus on longer time horizons, looking beyond 2025 to the years leading up to 2035.” While quarterly goals and reporting will always matter, it may be worth looking further into the future for the company’s long-term staffing and culture goals.

Leadership, department heads, and even select valued workers can help craft a clear vision that all stakeholders can buy into. It may involve some short-term sacrifices to stay true to a more promising future where employees can learn new skills and feel valued for their efforts. Planning for the future is certainly one of the HR trends to be aware of this year.

HR professionals are a vital part of any organization, big or small. Watching HR trends helps the department stay aware of market changes and how to best serve the needs of both the company and its valuable employees. Access to the right tools also streamlines the departmental processes and allows HR to focus on the big picture for the business. Learn how WorkforceHub can simplify HR tasks and empower employees.

Missed part one? Check it out here!