HR professionals continue to navigate evolving workplace expectations, with employee experience remaining a key priority. Flexibility, work-life balance, and leadership style are top considerations for job seekers, reinforcing the need for organisations to offer compelling benefits and development opportunities. In 2025, 73% of HR leaders prioritise enhancing employee experience, while 67% focus on leadership development and 54% on learning and development. AI is beginning to reshape HR functions, particularly in talent acquisition (25%) and learning and development (19%), though nearly half (46%) report no significant impact yet.
Recruitment challenges persist. While 63% adjust salaries to fill existing roles, counteroffers have declined, with 57% opting not to make them. Staff turnover has stabilised for most organisations, with 40% reporting no change and 32% noting some improvement.
of HR teams say staff turnover has improved (17%) or significantly improved (32%)
54%
of HR teams have invested in AI in the past 12 to 24 months
48%
of Human Resources professionals describe their team as under-resourced
"Employee rewards and benefits have become more diverse and personalised. We’ve found a greater need to focus on offering competitive compensation and benefits, fostering a positive and inclusive work culture, and providing growth opportunities. Flexibility and additional leave (we offer grandparent leave!) are also a huge drawcard. Allowing employees to work from anywhere and shifting the focus to outcomes rather than hours worked has become a key driver of attraction and retention in our teams. Given the nature of the HR load, we are going beyond traditional health benefits to include financial wellness programs, wellbeing leave and wellness programs for fitness, stress and anxiety management.
All HR professionals need to stay updated on workplace trends, employee expectations, and technology. For junior HR professionals, familiarity with HR technologies like AI and automation is essential, along with strong digital literacy to analyse HR metrics. Equally important are interpersonal skills, empathy, and conflict management, along with a solid understanding of labour laws. Senior HR professionals need strategic thinking and leadership skills. They must align HR initiatives with organisational goals, have advanced workforce analytics capabilities, and support their business’ leadership development and change management."
20
25
Get the latest insights you need to remain competitive, attract top talent, and align with the latest salary trends.
Get the latest insights you need to remain competitive, attract top talent, and align with the latest salary trends.
Copyright © 2025, people2people
people2people acknowledges the Traditional Custodians of country, pays respect to their Elders past and present, and extends that respect to all Aboriginal, Torres Strait Islander and Māori peoples today.
people2people partners with CarbonInvoice to measure and mitigate any carbon emissions associated with the work we do.
Specialisations
Locations
Resources