2026 Will Test HR: January 2026 EN:Insights Forum Recap

As organizations prepare for 2026, CHROs are navigating an environment marked by economic uncertainty, sustained transformation, and accelerating expectations around leadership, culture, and technology. These themes were central to SHRM’s Jan. 21 EN:Insights Forum, which spotlighted findings from SHRM’s 2026 CHRO Priorities and Perspectives report.

The session featured research insights from Ragan Decker, SHRM-CP, manager of Executive Network and enterprise research at SHRM, alongside a practitioner perspective from Beverly Lucas Propst, senior vice president of human resources at Graybar Electric Company Inc.  

As SHRM’s 2026 CHRO Priorities and Perspectives research makes clear, the year ahead will test HR’s strategic core. Here are the key takeaways.

Research Insight No. 1: Leadership and manager development remains HR's top priority. 

For the second consecutive year, CHROs identified leadership and manager development as the most critical area of focus. This underscores the central role that managers play in navigating change, driving performance, and sustaining engagement.

Key data points:

• 46% of CHROs identified leadership and manager development as a top priority for 2026.

• Within this priority, leadership skills ranked as the top focus, while management skills followed closely behind. 

“For the second year in a row, leadership and manager development was identified as the top priority across 16 different HR practice areas,” Decker said. “Leaders and managers are critical for guiding their teams through transformation and for driving performance.”

From an operating perspective, Propst emphasized that leadership capability is inseparable from organizational resilience.  

“Being able to communicate and lead others through change — those types of people will be highly sought-after in this next era that we’re going through,” she said.

Research Insight No. 2: Employee experience and culture are rising as strategic imperatives. 

Employee experience remains firmly entrenched among CHROs’ top three priorities, with a notable shift toward workplace culture as a defining factor in engagement and retention.

Key data points: 

• 29% of CHROs ranked employee experience among their top priorities for 2026.

• Within employee experience: 

• 33% cited employee engagement as the top focus in 2026.

• 31% cited workplace culture, more than doubling the percentage of 15% in 2025. 

• Employee experience ranked in the top three priorities for the second year in a row.

Propst tied culture directly to long-term retention.  

“We’ve found that the No. 1 reason people leave our company is they don’t see a future for themselves,” she said. “If they can stay and grow and see a future, they’re more likely to stay.”

Research Insight No. 3: Economic uncertainty has surpassed wage inflation as CHROs’ top challenge.

Wage pressure remains significant, but broader financial and economic volatility is now exerting the greatest influence on HR strategy.

Key data points:

• 24% of CHROs cited economic uncertainty as their greatest macroeconomic challenge for 2026.
• Wage inflation, the top challenge in 2025, declined slightly in relative importance.

At the organizational level:

• 43% cited rising operational costs as a major challenge.

• 42% cited pressure to meet financial goals.

• Pressure to meet financial targets was cited most often as the single greatest organizational challenge.

“In contrast to 2025, when wage inflation was identified as the greatest challenge, we now see that economic uncertainty is slightly more often cited as the greatest challenge,” Decker said. “Financial pressures really remain a dominant concern for CHROs.”

This financial pressure is reshaping HR’s role. As Decker noted, it “really underscores that direct link between HR strategy and business performance.”

Research Insight No. 4: AI adoption is accelerating, but expectations remain measured. 

Confidence in AI adoption remains strong, but CHROs are increasingly focused on readiness, skills, and responsible integration rather than rapid disruption.

Key data points:

• 92% of CHROs said they anticipate greater AI integration across workforce operations in 2026.

• 87% expect increased AI integration specifically within HR processes.

• 84% expect increased AI-related skills requirements for current and open roles.

Propst emphasized the importance of transparency and communication as AI reshapes work. 

“The communication, the clarity for how decisions are made — how they impact employees, and keeping employees in the loop is probably the No. 1 thing that companies can do when it comes to AI and digital transformation,” Propst said.

Research Insight No. 5: Change management is becoming a permanent operating discipline.

As constant transformation becomes the norm, CHROs are prioritizing organization design and change management as enduring capabilities rather than episodic initiatives. 

Key data points:

• 28% of CHROs ranked organization design and change management among their top priorities for 2026. 

• This practice area ranked in the top three priorities for the second consecutive year.

• Within this category, respondents identified change management as the top focus area. 

“In an era when constant change is the norm, it makes sense that CHROs are continuing to prioritize strategies for managing transitions effectively,” Decker said. “This practice area remains in the top three for the second year in a row.”

Propst reinforced that clarity is what helps organizations move forward through disruption. 

“When we are in a complex world like we are in right now, keeping it simple and keeping it clear is what grounds people,” she said.