The human resources industry has had its hands full over the past few years. First navigating the COVID-19 pandemic, which ushered in the remote work era. Then figuring out how to combat increasingly high levels of employee burnout and a new normal that often includes hybrid work models and flexible schedules. Changes continue to occur across the HR field and HR leaders and managers need to know what’s coming to best support employees and businesses.
HR operations will be a major focus in 2024, with leaders working to hone their processes around recruitment and onboarding. The continued implementation of HR technology helps HR managers streamline processes and create a more positive experience for applicants and current employees. HR software and AI, in particular, will be a help here, making it easier for HR managers to quickly narrow down candidate pools, see how job marketing efforts perform and reduce the time spent on repetitive tasks.
Employee satisfaction has long been a key HR metric, but the Great Resignation of 2021, spurred on by the COVID-19 pandemic, meant that HR leaders had to pay more attention to how they support employee well-being — and this continues in 2024. Some organizations have addressed this with an increase in remote and hybrid opportunities or flex work schedules that promote better work-life balance. Others have implemented benefits changes to allow for more mental health days, paid volunteer days and other perks aimed at improving employee satisfaction and reducing burnout.
Diversity and inclusion will also be at the forefront of 2024 HR trends, as leaders are finding out that employees often feel that companies are lacking in this area and that they want to work for a business that reflects their values. However, this area is still seeing rapid changes as court decisions are made and the industry continues to adapt, so this is likely to be a major HR challenge this year.
HR leaders who want to continue to create positive change in their organizations and make data-informed decisions need to be aware of the current trends in the industry. Let’s take a look at key HR statistics heading into 2024.
11 Key HR Statistics & Trends
In 2024, HR is focused on tech integration, especially generative AI, and meeting job seekers’ and employees’ growing expectations. A positive, inclusive company culture has evolved from a reach goal to a must-have. Companies that aren’t focusing on diversity, work-life balance and employee well-being are going to struggle to both attract and keep top talent.
Here are the most important HR stats and trends of 2024:
- 79% of the workforce supports pay transparency for job listings. (1)
- 73% of businesses are already using generative AI in some form, and this is expected to increase across all industries, including HR. (2)
- 88% of job seekers indicate that the culture of a company is one of the most important factors in its success. (3)
- Remote and hybrid positions are still popular among job seekers, with 20% of the workforce expected to be remote within the next year. (4)
- 75% of workers are worried that AI could replace entire roles, prompting a focus on reskilling and upskilling. (5)
- 44% of employees believe that current DEI policies and procedures aren’t working. (6)
- Only 43% of employees support organizational changes. (7)
- In-office employees have the least amount of trust in their companies. (7)
- 20% of companies are planning to increase spending on HR tech in 2024. (8)
- 48% of employees are planning on relocating overseas — or have already done so — while staying at the same job. (9)
- Salaries are stalling out, with 33% of employees seeing no change to the salaries in the past year and 5% taking a pay cut. (9)
It’s easy to see that transparency and trust are becoming increasingly important to employees and job seekers in the modern workplace, and companies need to take it seriously if their employees are voicing concerns about constant organizational changes or impossible workloads. Asking your employees what your company is doing well and where there’s room for improvement can help you narrow your focus and have the greatest impact.
10 Human Resources Recruiting & Hiring Statistics
While the job market is turning back toward employers in 2024, many HR leaders are still struggling to recruit top talent, and your company’s success is likely to depend heavily on the skills of human resource management personnel. Online and mobile application processes mean more people can apply, but these solutions also create an avalanche of resumes that can be impossible for recruiters to manage effectively. HR tech is poised to help with this struggle, but 2024 is likely to see HR managers facing continued challenges with implementation.
These human resources statistics illustrate what recruiting and hiring looks like today:
- 36% of HR leaders report that they don’t have effective strategies when it comes to recruiting. (10)
- 86% of job seekers look at a company’s reviews and ratings online. (11)
- 70% of job applications are completed on a mobile device. (12)
- 92% of job seekers don’t actually finish online applications. (13)
- The number one way job seekers find out about open positions is through referrals. (14)
- 75% of resumes are rejected by applicant tracking systems. (15)
- More than half of companies have moved a candidate to the reject pile based on their social media postings. (15)
- One-way video interviews have an 80% higher conversion rate than telephone interviews. (16)
- 83% of job seekers want to see a clear timeline of what the hiring process looks like. (17)
- 86% of companies use video interviews as part of their recruiting process. (18)
These statistics show that while job seekers do prefer to use online and mobile applications, they may not be getting the experience they need. It can be helpful for HR leaders to go through their recruitment and application process as a mock candidate to get a better idea of the challenges and frustrations potential employees are facing.
10 Current Trends in Employee Onboarding and Retention
Employees consistently report that the better a company’s onboarding process, the more prepared and engaged they feel in their jobs. Developing and tweaking formal onboarding processes will continue to be a main focus for HR leaders in 2024, as most companies are still struggling to find effective systems.
AI will continue to impact operations, and reducing burnout is a key focus for HR managers who want to improve retention and productivity rates.
Take a look at these HR statistics that show what challenges 2024 brings when it comes to onboarding and retention.
- Career opportunity is the number one reason employees leave their positions. (14)
- A positive onboarding process can increase employee productivity by 70%. (19)
- 88% of organizations don’t have an onboarding process that actually prepares employees for their roles. (19)
- Organizations with formal onboarding training see retention rates of around 50%. (19)
- The average training cost for a new employee is $702. (20)
- The average turnover rate in the United States is 3.5%. (21)
- HR has the highest turnover rate at 15%. (22)
- Employees who use AI in their jobs are 90% more likely to have high productivity rates. (23)
- 27% of employees who work desk jobs would prefer productivity to be based on how well they achieve goals and KPIs. (23)
- 70% of employees report they would be more productive if they had fewer meetings and received fewer emails. (23)
It’s clear that most companies’ onboarding programs aren’t working as they are intended or having the desired effect for the new employee. This can lead to increased employee frustration, lower productivity levels and higher turnover rates, as some employees may decide to go to another company rather than continue after a poor onboarding experience. HR leaders can affect positive change in this area by taking advantage of new technology that streamlines these processes and assigning new employees veteran mentors to ease the transition.
8 Diversity & Inclusion in the Workplace Statistics
In 2024, diversity, equity and inclusion (DEI) is likely to remain a topic of conversation, both at the water cooler and in the courtroom. This year is likely to see some overall industry policy shifts that could be a challenge to navigate.
Employees increasingly support diversity and inclusion in the workplace, and HR managers who don’t make this a priority could miss out on qualified job applicants and impact company profits and productivity.
These HR trends and statistics show that diversity and inclusion in the workplace are here to stay:
- Companies that have diverse leadership grow an average of 19%. (24)
- The unemployment rate for those with disabilities is 3.5%. (24)
- 85% of managers believe diversity should be a top priority. (24)
- 76% of employees and job seekers say that an organization having diversity in its workforce is important to them. (25)
- 32% of job seekers would not consider a position at an organization that had a lack of diversity. (25)
- 56% of adult employees believe that DEI initiatives are a good thing. (26)
- Companies that have female C-suite execs can have profits up to 50% higher than those that don’t. (27)
- 91% of employees who feel a sense of belonging at work report being engaged in their jobs. (28)
Companies that want to remain competitive in today’s world need to show that they are committed to diversity and inclusion and are ensuring all employees feel welcome and safe at work.
12 HR Technology Trends in the Workplace
Generative AI became mainstream in late 2022, and many organizations are still reeling from the impact or figuring out how to make it work in their favor. AI is still a major force in 2024, and HR departments are also evaluating how other tech offerings can help them with challenges such as data analytics and operations management.
Remote work is also here to stay, but more companies are exploring hybrid work environments and how they can monitor productivity and engagement for remote employees.
See the impact HR tech is already having and what might be coming for 2024 with these stats:
- 56% of HR leaders say that their organizations’ HR technology doesn’t meet their needs. (29)
- 74% of companies are planning on increasing HR tech spend in 2024. (30)
- 94% of recruiters believe that applicant tracking systems positively impact the hiring process. (31)
- Data analytics is the top challenge many HR departments are facing, with 39% reporting it as an issue. (30)
- 83% of those who purchase HR software experience regret because of a substandard buying process. (32)
- The top three focus initiatives for HR tech are skills management, learning experience platforms and internal talent marketplaces. (32)
- 61% of chief human resources officers say they will be investing in AI to help streamline HR processes. (33)
- 21% of HR managers are worried about how secure their data is when stored in the cloud. (34)
- Implementation cost is the biggest barrier for HR leaders when it comes to adopting new technology. (35)
- 47% of organizations are focusing on mobile-first tech. (35)
- 37% of employers are currently monitoring remote workers’ productivity and performance, and another 57% either have a plan to do so or are in the developmental stages. (30)
- Companies in business and financial operations have the highest percentage of remote work opportunities at 86%. (36)
HR tech is constantly evolving, but it doesn’t do anyone any good if it doesn’t get implemented or employees don’t know how to use it effectively. It’s important for HR leaders to stay on top of tech developments and ensure that any changes made are necessary and helpful and not just jumping on the latest shiny bandwagon.
Optimize HR Performance With Visual Planning
If you’re ready to upgrade your HR processes, creating a more positive experience for employees and freeing up some bandwidth for HR team members, Visual Planning’s software solutions can help. Our human resources management software allows you to build schedules, generate reports and manage projects to ensure you’re making the most of your resources and talent.
Our software offers a high level of customization, so you can create fields, forms and displays that work for your company and focus on your goals and metrics. It also includes tools for resource selection, giving you the ability to create profiles for every personnel member. When you can easily see at a glance what skills an employee has and what their recent productivity level has been, you can allocate resources more effectively. Our software also includes resource allocation tracking for things like meeting rooms or equipment.
Find out how Visual Planning software can help with your HRM vs. HCM needs when you book a demo today. Our team will ask about your needs, goals and pain points and provide a demonstration of how our software solutions can address these issues. You’ll get a chance to see key features and functionality, and at the end, we’ll provide a roadmap that lets you see exactly what implementation looks like.
Reach out to our team to learn more about our software offerings and how our tools can help you make valuable improvements to your human resources operations.
References
- https://builtin.com/articles/pay-transparency
- https://www.pwc.com/us/en/tech-effect/ai-analytics/ai-predictions.html
- https://www.forbes.com/sites/forbesfinancecouncil/2023/09/14/building-a-company-culture-to-drive-success/
- https://www.usatoday.com/money/blueprint/business/hr-payroll/remote-work-statistics
- https://www.forbes.com/sites/jeannemeister/2024/01/04/the-top-ten-hr-trends-that-matter-most-in-2024/
- https://www.gartner.com/en/articles/how-to-navigate-pushback-to-diversity-equity-and-inclusion-efforts
- https://hbr.org/2023/05/employees-are-losing-patience-with-change-initiatives
- https://www.adp.com/spark/articles/2023/11/10-hr-trends-to-follow-in-2024.aspx
- https://www.adpri.org/wp-content/uploads/2023/04/People-at-Work-2023-A-Global-Workforce-View-1.pdf
- https://www.gartner.com/en/articles/what-will-hr-focus-on-in-2023
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- https://recruitingdaily.com/news/almost-70-of-2021-job-applications-were-made-from-mobile-devices/
- https://www.shrm.org/topics-tools/news/talent-acquisition/people-92-never-finish-online-job-applications
- https://business.linkedin.com/content/dam/business/talent-solutions/global/en_us/c/pdfs/Ultimate-List-of-Hiring-Stats-v02.04.pdf
- https://www.topresume.com/career-advice/7-top-job-search-statistics
- https://www.northone.com/blog/small-business/recruitment-statistics
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- https://www.g2.com/articles/recruitment-statistics
- https://www.investopedia.com/financial-edge/0711/the-cost-of-hiring-a-new-employee.aspx
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- https://www.linkedin.com/business/talent/blog/talent-analytics/types-of-jobs-with-most-turnover
- https://d34u8crftukxnk.cloudfront.net/slackpress/prod/sites/6/State-Work-Report.en-US.pdf
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- https://www.pewresearch.org/social-trends/2023/05/17/diversity-equity-and-inclusion-in-the-workplace/
- https://www.mckinsey.com/featured-insights/diversity-and-inclusion/diversity-wins-how-inclusion-matters
- https://success.qualtrics.com/rs/542-FMF-412/images/Qualtrics-2021-Employee%20Experience-Trends.pdf
- https://www.gartner.com/en/human-resources/topics/hr-technology-strategy
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- https://www.forbes.com/sites/pwc-cloud-and-digital-transformation/2022/07/14/how-cloud-transformation-is-fueling-hr-success/
- https://www.g2.com/articles/hr-statistics
- https://www.usatoday.com/money/blueprint/business/hr-payroll/remote-work-statistics/
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Communicator Journalist with an Organizational Communication master degree specialized in Digital Communication from Jean Moulin Lyon 3 University. Passionate about new technologies, social medias, marketing and cooking.