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The biggest HR association in the US says it is focused on labor shortages, the skills gap, and political c...

Jan 07, 2025 - businessinsider.com
The Society for Human Resource Management (SHRM), the largest HR association globally, is focusing on key themes anticipated to impact businesses and HR professionals in 2025. These include job retention, the skills gap, and managing polarizing workplaces. Labor shortages are a significant challenge, with job openings surpassing active job seekers, prompting businesses to explore untapped talent pools like veterans and caregivers. SHRM emphasizes the need for addressing barriers such as outdated policies and insufficient flexibility to enhance recruitment and retention. Additionally, the organization is preparing for potential regulatory changes under the new administration, which could affect workplace diversity initiatives and talent management strategies.

SHRM also highlights the impact of AI on the workforce, noting that one in eight jobs has already been displaced by AI. To capitalize on AI's potential, SHRM stresses the importance of upskilling and reskilling programs to address the current lack of digital literacy and technical competence among workers. The organization aims to equip HR leaders with tools to foster resilient and inclusive workplaces amidst rising workplace incivility and polarization. SHRM President Johnny C. Taylor Jr. emphasizes the need for transparency about AI's significant impact on work and job security, as the organization continues to support businesses in navigating these challenges.

Key takeaways:

  • SHRM anticipates that job retention, the skills gap, and managing polarizing workplaces will be major challenges for HR professionals in 2025.
  • Labor shortages are a significant issue, with employers struggling to fill job openings and suggested solutions include tapping into untapped talent pools.
  • Political changes and new regulations could create uncertainty for employers, impacting workplace diversity initiatives and talent management strategies.
  • AI is expected to dramatically change the workforce, necessitating targeted upskilling and reskilling programs to address skills gaps and job security concerns.
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