OUR PERSPECTIVES
Purpose
An ongoing labor shortage, rapid technological advancements, and lingering effects of the COVID-19 pandemic are among the many forces that are currently reshaping the world of work. These factors have not only disrupted traditional workforce models but also elevated the strategic importance of HR within organizations. As organizations grapple with talent scarcity, shifting skills requirements, and evolving expectations around workplace flexibility, HR professionals have become crucial in ensuring organizational resilience.
Although HR has become increasingly central to organizational strategy, HR employment and labor demand are equally susceptible to broader economic volatility, uncertain hiring environments, and rapid technological change (e.g., the advent of increasingly advanced artificial intelligence tools specifically designed to complete HR functions). Against this backdrop, the future of HR roles and employment has become uncertain. Understanding these trends is essential for business leaders and HR practitioners, who must anticipate future workforce needs and sustain competitiveness in a dynamic labor market. This report aims to deliver insights by analyzing historical patterns and recent developments in HR employment and labor demand, equipping stakeholders to make informed decisions and proactively address emerging challenges and opportunities.
KEY FINDING NO. 1
Over the Last 30 Years, HR Employment Grew at a Much Faster Rate Than Overall Employment
Figure 1 illustrates the 12-month average size of overall employment, total HR employment, and HR employment by subcategory from December 1994 through September 2025. In all cases, values reflect 12-month average employment in each month expressed as a percentage of employment in the same group in February 2020 (i.e., immediately prior to the pandemic). During the three decades covered in this series, average HR employment has grown much more rapidly than average overall employment. In fact, in December 1994, 12-month average overall employment and total HR employment stood at just 77.7% and 46.1% of their February 2020 values, respectively, indicating that average HR employment grew much faster between the mid-1990s and the dawn of the pandemic relative to average overall employment. This disparity highlights the accelerated expansion of HR roles, particularly among HR managers and specialists, whereas HR assistants and clerks experienced a slight decline during the same period.
Although average HR employment grew little at the initial outset of the pandemic, it began rising rapidly in the latter half of 2021 and continued a strong upward trend before peaking in early 2024. This growth was primarily driven by surging employment in the HR specialists group, though the HR managers as well as the HR assistants and clerks groups grew during this period, as well. In any case, by February 2024, average total HR employment had grown 17.2% since the dawn of the pandemic, whereas average overall employment had grown by just over 2%.
Since this early 2024 peak, growth in average HR employment has stalled, leading to a modest but notable decline in HR employment between early 2024 and September 2025. This decline is mirrored in the HR managers and HR specialists groups; on the other hand, average employment in the HR assistants and clerks group has been quite strong during the same period.
There are several factors that can explain these trends. Zooming out to the bigger picture, the comparatively robust growth in average total HR employment, HR specialists, and HR managers since the mid-1990s reflects organizations’ growing need to hire, train, develop, and retain increasingly specialized and rapidly evolving talent. Additionally, demographic shifts such as population aging as well as the effects of the COVID-19 pandemic on the workplace have contributed to an increasing need for organizations to develop more advanced and effective HR functions.1 This issue likely contributed to the strong growth in average HR employment observed from late 2021 through early 2024 as firms struggled to attract and retain talent amid a severe labor shortage.
More recently, the modest dip in average total HR employment since early 2024 is likely driven by several factors, including, but not limited to, cooling labor market conditions and a broader softening of the economy, both of which could have incentivized many firms to cut back on their HR function. It also could be the case that organizations have been stabilizing or reducing their HR workforces somewhat after growing them quickly during the pandemic-era labor market boom. Finally, many HR tasks are increasingly being transformed or even fully taken over by the introduction of new AI technologies, which could contribute to lower demand for HR personnel.
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KEY FINDING NO. 2
The Representation of HR Workers Varies Across Major Industry Groups
Figure 2 presents the average concentration of HR professionals per 1,000 workers across major industry sectors for the most recent 12-month period covering October 2024 through September 2025. Overall, there were 11.1 HR professionals for every 1,000 workers on average; however, representation varied substantially across industries. At the high end, Management, Administrative and Support, and Waste Management Services experienced a higher prevalence of HR professionals (26.0 per 1,000 workers), followed by Public Administration (24.7) and Mining and Oil and Gas Extraction (21.9). In contrast, industries such as Accommodation and Food Service (3.6); Construction (5.0); and Agriculture, Forestry, Fishing, and Hunting (5.5) had the lowest HR employment rates.
Several relationships emerge from these findings. First, sectors with complex regulatory environments, large workforce sizes, or specialized talent needs tend to employ more HR professionals relative to the overall workforce, reflecting the greater demand for dedicated HR support in managing compliance, recruitment, and employee relations. Conversely, industries with seasonal workforces, lower formalization, or limited administrative infrastructure generally require fewer HR staff relative to total employment. These patterns underscore the importance of industry context in shaping HR employment demand, emphasizing the need for organizations to develop tailored HR strategies that address their specific operational, regulatory, and talent management challenges.
KEY FINDING NO. 3
HR Professionals Experience Greater Flexibility Than the Average U.S. Worker, With 1 in 2 HR Workers Being Able to Work Remotely
Figure 3 examines the distribution of work schedules — fully in person, hybrid, and fully remote — for both the overall U.S. employed population and HR professionals during the latest 12-month period, covering October 2024 to September 2025. While the vast majority of U.S. workers (77.4%) continued to work fully in person, only half of HR professionals (50.7%) reported fully in-person schedules, with the remaining half equally having the option to work either hybrid or fully remote. In contrast, just 12% of all U.S. workers said they have hybrid schedules and 10.6% were in fully remote roles.
This substantial difference highlights the greater flexibility afforded to HR professionals, likely reflecting the administrative and knowledge-based nature of HR work, which can be effectively performed outside traditional office settings. The data underscores a broader shift in workplace norms for HR — with remote and hybrid arrangements becoming increasingly prevalent — in contrast to the overall workforce, where a significant share of jobs must be in person because they inherently require a worksite (e.g., food-service workers and police officers).
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KEY FINDING NO. 4
Since February 2020, Demand for HR Workers Has Fluctuated and Remains More Than 20% Below Pre-pandemic Levels As of December 2025
Figure 4 tracks the 12-month average of new job postings across the overall labor market and in HR occupations from December 2015 to December 2025, expressed as a percentage of its February 2020 value. The central takeaway is that overall labor demand and demand for HR workers have experienced dramatic swings since the start of the pandemic. Following an initial dip at the start of the pandemic, the 12-month average of total new job postings soared to nearly 140% of its February 2020 value in late 2022. This average declined steadily in the two years following that peak; however, since late 2024, the average number of total new job postings has seen a small increase.
The pandemic and post-pandemic story for new HR job postings, both overall and for the individual HR groups studied, is broadly similar, albeit with notably more dramatic peaks and valleys. For example, the average for new HR job postings plummeted in the initial phase of the pandemic, so much so that the average stood at just under 75% of its February 2020 value in February 2021. However, that fall was immediately followed by a massive surge in demand, with the average for new HR job postings rising to over 150% of its February 2020 value in 2022. Shortly after that 2022 peak, the average of new HR job postings fell dramatically through the end of 2024. Although it has recovered somewhat since then, as of December 2025, the 12-month average of new HR job postings stood at just 78% of its February 2020 value.
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KEY FINDING NO. 5
The Labor Demand for HR Roles Varies Across Major Industry Groups
Figure 5 analyzes the concentration of new HR job postings per 1,000 new job postings across major industry sectors for the most recent 12-month period, spanning from January 2025 to December 2025. On average, there were 14.4 HR job postings for every 1,000 new job postings across all sectors; however, labor demand for HR workers varied notably across major industry sectors. At the high end, Finance and Insurance led with 23.9 HR postings per 1,000, followed closely by Public Administration (23.8), Information (21.0), and Manufacturing (20.5). In contrast, sectors such as Accommodation and Food Service (7.0) and Retail Trade (7.1) reported the lowest concentration of HR job postings.
These differences signal that new labor demand for HR roles is highest in industries with complex regulatory requirements, large-scale operations, or specialized workforce needs, where HR functions are critical for supporting organizational growth and compliance. Conversely, industries with more transactional or seasonal employment models tend to generate fewer HR job postings relative to their overall hiring activity. This pattern highlights the strategic importance of HR talent acquisition in certain sectors and points to ongoing shifts in how organizations prioritize HR capabilities in response to evolving business and workforce demands.
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KEY FINDING NO. 6
Compared to the Average U.S. Job, HR Job Postings Require Higher Levels of Educational Attainment
Figure 6 illustrates the minimum educational requirements for new job postings in HR occupations compared to overall U.S. job postings for the most recent 12-month period, covering January 2025 through December 2025. On average, HR job postings demanded significantly higher levels of educational attainment: Nearly 45% of HR postings required at least a bachelor’s degree, compared to just 22.3% of all U.S. job postings. This trend was especially pronounced for HR managers, with 64.1% of postings specifying a bachelor’s degree or higher. In contrast, entry-level HR roles such as HR assistants and clerks were more likely to require only a high school diploma (28.1%) than any other degree. These findings highlight the elevated educational expectations for HR professionals, especially in specialist and managerial roles.
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KEY FINDING NO. 7
Key Skills Sought in HR Roles Include Interpersonal, Cognitive, Business, and Standard Software Abilities
Table 1 highlights the top 10 skills most frequently mentioned in new job postings for HR occupations for the most recent 12-month period, covering January 2025 through December 2025, differentiating between HR assistants and clerks, HR specialists, and HR managers. Across all HR roles, interpersonal abilities — such as personal attributes, communication, and initiative and leadership — consistently ranked among the top skills, with over 50% of postings across HR assistants and clerks as well as HR specialists emphasizing these qualities. Cognitive skills such as critical thinking, problem-solving, and business acumen were also highly sought, especially for HR managers, where initiative and leadership as well as communication appeared in 77% and 69% of postings, respectively.
In addition, technological proficiency was viewed as essential, with strong demand for office and productivity software skills and familiarity with human resources software across positions for HR specialists as well as HR assistants and clerks. Administrative support, payroll, and compliance round out the core skill set for assistants and clerks, while project management, employee relations, and business strategy were highly emphasized at the managerial level. These findings underscore that HR professionals are expected to blend strong interpersonal and analytical capabilities with technological fluency, reflecting the evolving demands of the modern workplace.
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KEY FINDING NO. 8
As of December 2025, 3.1% of New HR Job Postings Mentioned AI and Machine Learning Skills, Compared to 2.3% Across the U.S. Labor Market
Figure 7 tracks the average share of new job postings referencing AI and machine learning (AI/ML) skills, comparing trends in overall and HR-related new job postings between December 2015 and December 2025. The share of new job postings mentioning AI/ML skills has increased dramatically over the past decade, particularly in recent years, with HR occupations showing an even faster rate of growth than the overall U.S. labor market. As of December 2025, 3.1% of new HR job postings mentioned AI/ML skills, compared to 2.3% across all new U.S. job postings. Within HR, the demand was most pronounced for HR managers (4.0%), followed by HR specialists (3.3%) and HR assistants and clerks (1.1%).
This upward trend reflects a strategic shift as organizations increasingly leverage AI for talent acquisition, workforce analytics, and operational efficiency. The data suggest that HR professionals, especially at managerial and specialist levels, are expected to possess advanced digital and analytical capabilities to stay competitive. To address this evolving landscape, firms should prioritize upskilling HR teams in AI technologies and integrate these competencies into their talent strategies.
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CONCLUSION
Despite a modest decline in average HR employment since early 2024 and average new HR job postings remaining more than 20% below pre-pandemic levels, it is important to note that these recent trends do not undermine the ongoing relevance of HR as a field. Average HR employment experienced significant growth over the last three decades, but historical data illustrate several instances during the December 1994 to September 2025 period when average HR employment stagnated or fell, indicating that the recent decline in HR employment since early 2024 is by no means unprecedented. Furthermore, although the average number of new HR job openings remains low by recent historical standards, this average has been rising gradually throughout 2025.
Looking ahead, one constant is that HR is playing an increasingly critical role in facilitating organizational success and resilience in a highly dynamic economic environment. This fact underlies the rapid growth of the field in recent decades, as well as the fact that, according to the 2024-2034 BLS Employment Projections, employment growth in nearly every HR occupation is expected to remain strong in future years.2 As the world of work continues to evolve in rapid and often unpredictable ways, HR professionals will remain essential in enabling adaptability and innovation by driving upskilling and reskilling initiatives, shaping workplace culture, and ensuring organizations are well positioned to meet future challenges.
Definitions
HR occupations: In the Standard Occupational Classification (SOC) system, 10 occupations have been identified as relating directly to HR, as shown in Table 2.3 In this data brief, these occupations are grouped into three broad subcategories: HR Assistants and Clerks; HR Specialists; and HR Managers.
HR employment: Measured as the 12-month average number of employed people ages 16 and older that work in HR occupations, both overall and by HR subcategory.
HR employment representation: The proportion of employed people (either overall or in a subgroup of interest) that work in HR occupations.
Telework schedule: Employed people are identified as working fully in person if they telework none of their hours, fully remote if they telework all their hours, and hybrid if they telework some of their hours. In October 2022, the Current Population Survey (CPS) started asking people to report their number of telework hours during the previous week.
HR labor demand: Measured as the 12-month average number of new job postings in HR occupations, both overall and by HR subcategory.4
Artificial intelligence and machine learning skills: A set of more than 300 individual skills, defined by Lightcast, that relate to the application of AI and machine learning in a work setting. These skills largely encompass, but are not limited to, the development of algorithms and models that enable machines to perform tasks such as learning, reasoning, problem-solving, and understanding natural language.
Methods and Data
This data brief relies on two main data sources. The analysis of HR employment trends (i.e., Figures 1 through 3) relies entirely on public-use CPS microdata downloaded from IPUMS CPS, a social and economic data curation, archiving, and dissemination program within the University of Minnesota’s Institute for Social Research and Data Innovation.5
The remaining analyses discussed in this brief (i.e., Figures 4 through 7 and Table 1) rely on new job postings data downloaded from Lightcast, an analytics firm that collects and analyzes labor market data, including daily job postings data from over 70,000 websites in the U.S.6 Lightcast measures job postings either as active postings — those live at any point during a given period, including those carried over from previous months — or as new postings, capturing only those that are introduced within a given period. In this brief, we measure labor demand using new job postings data because it provides a better view of the emerging trends in job demand. In addition to the number of new job postings by detailed occupation and industry, data related to the educational requirements and types of skills demanded across new job postings feature in this brief.
Because month-to-month data can be volatile, all values reported in this brief represent 12-month pooled averages. For example, the indexed employment levels reported for September 2025 in Figure 1 are based on the ratio of average employment levels between October 2024 and September 2025 and average employment levels between March 2019 and February 2020.
1. Deloitte’s 2023 Global Human Capital Trends Report highlighted the need for HR to reimagine its roles and capabilities as organizations face an increasingly boundaryless world — one in which work, workforces, and workplaces are being redefined by demographic shifts, technology, and evolving social expectations.
2. Table 1.2 of the BLS Employment Projections reveals particularly strong expected growth across managerial and midlevel HR occupations between 2024 and 2034, with an emphasis on training and development as well as general HR-related roles.
3. In the Current Population Survey (CPS), occupations SOC 13-1071, SOC 13-1074, and SOC 13-1075 are grouped under a singular category, Human Resources Workers (SOC 13-1070), reducing the set of HR occupation codes to eight. This consolidation does not materially affect our analysis of total HR employment or across broad subcategories.
4. In this data brief, labor demand is measured by new job postings, as opposed to active job postings, to focus on emerging trends in demand.
5. U.S. Bureau of Labor Statistics and U.S. Census Bureau. Current Population Survey (CPS) basic monthly data, January 1994-September 2025. Data downloaded from IPUMS CPS, University of Minnesota, www.ipums.org.
6. Lightcast. New Job Postings, January 2015-December 2025.