Dean Carter
December 15th, 2023
As 2023 comes to a close, I’ve been reflecting on what a transformative year it’s been for HR. The combination of a largely tight labor market, challenging economic conditions, and once in a generation technological advancements in the form of AI have demanded the very best from HR professionals, and things aren’t likely to let up.
In the spirit of the season, I wanted to share some predictions about what I believe HR leaders will face in 2024. I’ve listed each below:
The growth of AI in the next 18 months will lead to the biggest upskilling and reskilling effort in history.
We’ve talked about the astounding growth and impact of AI before, but I’m going bolder next year to predict that the wave of upskilling and reskilling has barely begun. HR leaders must focus on how to provide accessible, relevant education to employees in vastly different job functions to help them avoid falling behind.
An important part of the HR role will be to model how to lean into the technology as a business function, while also moderating how it flows through the rest of your organization. In other words: This isn’t the time to leave things to the IT department. HR needs to play a big part and lead the way.
Flexible work schedules and locations will gain ground and attract top talent.
The debate between employers and employees over the degree of flexibility that should be allowed for schedules and work locations is far from over. Expect to see proponents on all sides pushing new studies and data to reinforce their case. Nonetheless, more employers will find that offering more flexibility — including scheduling for frontline employees — helps them attract and retain workers more easily than the more restrictive approaches.
The push for pay transparency will intensify and expand to new states.
Pay transparency is already the law in close to a dozen states, and that’s a trend that’s going to continue. Regardless of where your business is located, it’s time for HR leaders to abandon the “Wizard of Comp” style secrecy, pull back the curtain, and firm up your company’s approach. This is something we’ve lived at Guild for a long time and would recommend tackling before you fall behind.
While you’re at it, I suggest making sure you have a clear pay equity strategy. Even if it’s not legally required, you’re likely to see increased pressure from employees and stakeholders who will stand up for their beliefs in equitable treatment for all.
Demand for ROI on HR investments will be stronger as tight budgets rule the day.
Budgets are still tight, and that means that HR leaders will face greater scrutiny on the ROI of the investments they make. I expect leaders will spend more time questioning traditional benchmarks that don’t provide the data they’re looking for, so we should see updated ways to measure impact.
We will also see more leaders investing in foundational supports that deliver reliable ROI, including employee upskilling and reskilling efforts — as well as contributions to the employee experience. Just look at the unusual approach that Slack is taking to employee upskilling after recognizing the critical impact it plays on the organization.
HR pros will face pressure to gain skills outside their core area and become more like generalists.
Specialized knowledge will always be valuable, and some will continue to thrive as deep experts in their area of HR. That said, the best teams will be flexible and adaptable to change. Those who can contribute in multiple areas will be primed for new opportunities that are more likely to emerge in this volatile climate. As a result, it will pay for employees to move out of their silos and for employers to offer accessible skilling opportunities that make it easier for employees to explore and branch out.
So what do you think? Head to the post on my LinkedIn profile and let me know your thoughts on the following questions in the comments:
1) Which of these predictions resonates with you most?
2) Which topic do you think will go in a different direction and why?
3) What other predictions do you have for HR in 2024?
Happy New Year!
With peace and purpose - Dean
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