The rate of change in the workforce continues to accelerate, and artificial intelligence is a significant driver. In fact, AI is the most prominent workforce trend that CHROs expect will gain momentum in 2025, with 90% of CHROs saying they foresee AI integration becoming much more prevalent in their workplace this year, according to SHRM’s new CHRO Priorities and Perspectives report.
CHROs, however, also see the need for an increase in HI (human intelligence) being paired with AI. The report found that 50% of CHROs anticipate more emphasis this year on human-centered leadership in the workplace.
CHROs Remain Optimistic About AI
As a whole, HR leaders view AI as a positive for the workforce, according to the report. A significant 87% of CHROs anticipate a boost in workforce productivity with AI. This is likely due to the predicted automation of manual tasks, increasing employee efficiency. This could leave more time for employees to focus on innovation and big-picture tasks with their teams.
CHROs understand that AI’s impact on the workplace will hit close to home, as 83% anticipate AI will play a larger role in managing HR tasks and processes. The technology carries the ability to speed up repetitive HR tasks and processes, giving CHROs more time for strategic planning and focusing on the human side of HR. One challenge will be ensuring that AI is secure so that any personally identifiable information remains confidential.
Keeping Up with the Rate of Change
Keeping up with the rapid pace of AI change in the workplace won’t be easy. Almost 3 in 10 CHROs (29%) said that adapting to technological change will be a challenge for their organizations this year. To meet these growing technological demands, 53% of HR leaders foresee increased investment in rapid skill development. Employers will need to focus on upskilling their existing workforce to meet growing demands.
Job descriptions will also need to be updated, given that AI’s acceleration is also expected to impact job requirements. More than two-thirds of CHROS (69%) anticipate workforce capabilities will be supplemented by an additional reliance on AI-driven autonomous agents, and more than three-fourths (76%) foresee AI-related skills to become more prominent in job requirements.
To align on these changes, CHROs will need to work with their CEOs to determine the best course of action. While some organizations may focus on upskilling, others may elect to hire more external candidates who can bring needed skills to the job.
Remembering the Human Element of Work
Human intelligence is critical for maintaining not only AI compliance, but also employee engagement within the workforce. In fact, 50% of CHROs said that maintaining employee morale and motivation is a key challenge for 2025, and 13% said it’s their greatest HR challenge this year.
To tackle this issue, 59% of CHROs foresee an increased focus on employee well-being and mental health. This will likely be impacted by the rise in return-to-office mandates (predicted by 50% of HR leaders), which are shifting how employees experience work. Factors such as extended commute times, standard onsite office hours, and workplace accommodations for employees with disabilities are all things that leaders need to consider as they tackle employee well-being.
With AI being used in the workplace to manage the full employee life cycle, it’s also important for HR leaders to understand their legal responsibilities. For details about AI discrimination, state laws, background checks, and more, see SHRM’s new toolkit, Using Artificial Intelligence for Employment Purposes.
An organization run by AI is not a futuristic concept. Such technology is already a part of many workplaces and will continue to shape the labor market and HR. Here's how employers and employees can successfully manage generative AI and other AI-powered systems.