SIRMBETTERWORKPLACESRESEARCHREPORTBETTERWORLD"2025SHRMSTATEOFTHEWORKPLACE
TABLEOFCONTENTS3Executive Summary5Introduction6LookingBack11HR AreasofStrengthNavigating the Future: HR and Workforce13Insights for 202517Recommendations19Conclusion20Resources21MethodologySHRMRESEARCHREPORTBEITERWORKPLACESBETITERWORLD
EXECUTIVESUMMARYIn 2024,HR departments faced the challenge of steering organizations through rapid change, politicaland economic uncertainty, and the ever-evolving nature of work and the workplace. This reportdelvesinto HR's role durina this transformative vear. highlighting key achievements and opportunities for futuregrowth. Drawing on insightsfrom1,615HR professionals,238 HR executives, and 471U.S. workers. thefindingsencapsulatemultipleperspectivesto assessHR'seffectivenessacross16HR practice areasThis comprehensive review offers valuable insights into HR in 2024 while providing actionable insightsto informstrateaiesfor2025 and bevondKEYFINDINGSRecruitinaaPersistentthe topprioritv for HR.ejob openings outnumberindividuals activelv seeking wonsurprising that only a portion ofHRprofessionals and U.S. workers viewed their organization's recruiting efforts as effective. Thesestaffingchallengesresulted in heavier workloadsforsome employees, ultimately driving higherence was a top prioritydentified a stronq connectionwover not all HR professionals orvers of positive employeexperience include teamwork, purporecognitionand teamcollaboration asareas ofopportunity to enhance employeeexperience anddrive retention.which are crucial amid laborshodsnaeorteenCrtolvetforGrowthandKevPriorities-In2024andManaaerDevelonseen as essential notxperience and retention,simportance,howeve,onlyaportionofHRed in this area. with about a thirdinloborRelationsandHRFunctionStrateay andManagement-Laborandemployeeas the strongest-performing HR practice area in 2024, earning the highest ratingsSimilarly, HR function strategy andice area oarticularly by HR professionals.However, neither of these HR practice areas were a top priority in 2024,reflectinq their established nature as foundational to the HR function. This foundational strength wilbe particularly important amid the rapidly evolving requlatory and political landscape of 2025'TheGrseforEmpoyeExpeience,SHRM,2024SHRMRESFARCHREPORTBETTERWORKPLACESBETTERWORLD
5.ACalltoShiftPrioritiesTowardEmploveeEngagementandDevelopmentin2025-BothHRprofessionals and U.S. workers are aligned in identifying leadership and manager development, emplovee experience, and learning and development as the major priorities for2025,signaling ashiffromarecruitingfocusin2024toafocus on emploveedevelopment andengagementin2025Workers also highlighted the importance of totalrewards in light ofinflation and economic concernscreatingnewchallengesforHRtoaddressinaconstrainedenvironmentemeraesasapivotalyetThedata showed a strong relationship,IHReffectiveness-whenHRre more likely to view theirHRdepartments as effectiveIR technology's strong relationship with learning and development effectiveness furtherreinforcesemen...