The Future of HR: Preparing for the Next Decade

The world is constantly changing, and so is the workforce. As HR leaders, it’s essential to look ahead and anticipate what’s coming next. With the digital revolution in full swing and the retirement of older workers, it’s time to start thinking about what HR will look like in 2030. Here are six predictions for the future of HR and how to prepare for them.

1. A New Generation Takes Over

By 2030, Baby Boomers will be retiring, and Generation Z will be taking over. Unlike previous generations, Gen Z workers are looking for companies that align with their values and speak out on issues like the environment and diversity, equity, and inclusion. HR can help companies navigate these polarising topics and explain their decisions to employees. To retain Gen Z workers, companies must provide a sense of purpose, flexibility, and continuous career development.

2. Digital Training Becomes Essential

HR professionals report noticing basic skill and knowledge gaps among applicants, with basic computer skills being the most common. By 2030, there will be 85 million unfilled jobs worldwide due to a lack of skilled workers. HR must build digital skills among current employees and change their recruiting and hiring practices. Every department will require workers who are familiar with AI, big data, and quantum information.

3. People Experience Departments Emerge

A new team will focus on employees’ lived experience and development. HR departments have had a century to work on employee experience and development, but a people experience department will help companies keep improving. This team will compare to the similar but different roles of accounting and finance within the corporate structure.

4. Teamwork is Key

Effective project teams will become essential for company success, with employees working together from all over the company and even outside the organisation. HR must reimagine incentive programs and performance reviews because employees may not be working for their usual supervisors. Continuous feedback works better in a project-based environment.

5. Robots Take on More Work

Automation and AI will continue to evolve and take on repetitive tasks, both in the HR department and companywide. HR professionals say their organisations plan to continue using, expand upon, or develop workplace automation over the next five years.

6. Mental Health Focus Increases

The pandemic brought mental health to the forefront, and HR must continue addressing this issue in the future. HR leaders must implement mental health resources and support programs for employees to increase productivity and reduce turnover.

In conclusion, HR leaders must prepare for the future by focusing on digital training, creating people experience departments, reimagining incentive programs and performance reviews, and implementing mental health resources and support programs. By doing so, they can help their organizations thrive in the years to come.

Source: https://www.shrm.org/hr-today/news/hr-magazine/winter2022/pages/the-future-of-human-resources.aspx