4 HR Trends to Watch in 2023

December 19, 2022

At a glance

  • The main takeaway: Industry and societal disruptions have created several opportunities for HR leaders and their teams to improve their organizations for the better.
  • Impact on your business: Expect tech-enabled hybrid work models, digitization, upskilling and mental health to take top priority for HR teams as they embark on 2023.
  • Next steps: Aprio’s People Advisory Services team can provide the tools and guidance you need to position your organization for growth going forward.

Schedule a consultation with Aprio today

The full story:

After a tumultuous few years grappling with the onset and impact of the COVID-19 pandemic, human resources (HR) professionals and their teams have faced a significant amount of disruption. But as we look ahead to the new year, that disruption has also created several opportunities to improve employees’ wellbeing and boost organizational effectiveness moving forward.

Here are the top four trends HR teams should strategize and plan for in 2023.

1. Tech upgrades will empower hybrid work models

As companies move forward in a post-pandemic world, many of them will make the shift from fully remote work arrangements to hybrid work arrangements, or schedules that include both remote and in-office workdays. This shift has many implications for HR teams; for instance, teams will be tasked with fostering a blended virtual and in-person culture, including creative team building, learning and development, onboarding and training. It will also be critical to foster healthy managerial and organizational relationships among hybrid and remote employees.

Expect technology to continue to play a major role in bridging the gap to hybrid work. According to a recent survey from IT consulting firm Capgemini, 72% of employees will expect their employers to continue to provide access to tools and technology to aid future-focused workstations and setups. HR teams may utilize eLearning platforms like Coursera or workforce management systems like BambooHR to aid in the transition.

2. Digitization will fuel more data-driven HR business strategies

Speaking of technology and its influence on the workplace, we expect that digitization will be an even bigger focus for organizations and their HR teams in 2023, especially when it comes to critical HR functions. As more companies have adopted workforce and human capital management systems, leadership teams are interested in using big data, analytics and business intelligence metrics to make pivotal HR decisions. These tools allow for the seamless consolidation and distribution of data, which can help teams better predict and plan for turnover trends and identify gaps to fill skills.

Easy access to this powerful data will also be a game-changer for HR leaders involved in the hiring process, as it will allow for more immediate decisions, expedited time-to-hire periods and more transparency over performance once candidates have joined the organization.

3. Employee upskilling will become a priority

A report from the World Economic Forum recently estimated that 50% of all global employees will need to be reskilled by 2025, and companies’ investments in upskilling initiatives will potentially boost the GDP by $6.5 trillion by 2030.

Advancements in technology have made certain work processes and jobs more efficient, but they have also made certain jobs more complex or even obsolete. Companies will invest in learning and development programs and trainings to help employees upgrade their skill sets or even acquire new ones. HR professionals and their teams will be at the forefront of these initiatives, providing solutions like peer mentoring, eLearning platforms to spur professional development, and other tools to help employees set skills goals and attain them.

4. Mental health will move into the forefront

The mental health fallout from the pandemic has continued and perhaps grown even more serious over the past three years. According to a global survey by McKinsey & Company, nearly 60% of employees report struggling with at least one mental health challenge. HR teams will deploy initiatives to combat the workplace mental health crisis in 2023, including using innovative data such as HR population analytics to better pinpoint organizational risks and patterns. This will allow teams to take intentional action to address employees’ anxiety, stress, burnout and ultimately turnover more quickly. Mental health programs and resources, such as company-sponsored therapy and employee assistance programs, will also become office mainstays.

Aprio People Advisory Services is here to help

Creating and disseminating new policies and procedures can be a lot of work, especially if your business is in rapid growth mode. Aprio partners with HR teams to answer pressing questions, including issues related to employee relations, and provides technology solutions that take the manual work out of HR, payroll processing and tax compliance to save time.

Schedule a consultation with us today.

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