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HR predictions for 2025: recruitment, recognition and skills

"We need to think smarter about the personalisation of reward and recognition provisions," said Nebel Crowhurst, Reward Gateway's chief appreciation officer

Three HR commentators offer predictions about recruitment, reward, recognition and skills trends in 2025.

In this second part of our series, we asked HR leaders about their predictions for next year, and how they’ll prepare for upcoming changes.


Read more: HR predictions for 2025: AI, flexible work and productivity 


Internal mobility will be a crucial money-saver

Following an autumn Budget that saw employer national insurance contributions rise, Julia Braun, chief HR officer for software provider SoftwareOne, predicted that internal mobility will be a key way to cut recruitment costs.

Speaking to HR magazine, she said: “As costs continue to soar into 2025, sourcing talent from within an organisation can be a first step in saving expenses during the recruitment process. 

“Hiring talent internally and promoting talent mobility schemes not only helps save on recruitment expenses like interviewing candidates and working through agencies but it also helps convey business confidence in existing employees’ skills, while also providing current staff career growth and development opportunities.”

Employers will avoid generic recognition schemes

Nebel Crowhurst, chief appreciation officer for benefits provider Reward Gateway, suggested that, particularly in 2025, overhauling reward and recognition initiatives to offer more personalisation will increase engagement.

She told HR magazine: "We need to think smarter about the personalisation of reward and recognition provisions, evolving beyond simple work anniversaries towards the acknowledgement of unique milestone moments, which will be different for each employee.

“For one, it may be a celebration of the achievement of completing a professional qualification. For another, it could be a life moment such as buying a first home.”


Read more: Pressures drive SMEs to revamp benefits


Skills trends will respond to AI implementation

As AI is rapidly implemented in the workforce, employees must have the skills to use AI efficiently and ethically, as well as take on the human soft skills that AI is unable to automate, said Christina Daly, Zoom’s head of people experience.

“It’s no longer enough to simply know how to use AI tools; employees must interpret and refine their outputs for optimal results,” she told HR magazine. “Creative problem-solving will help teams adapt and innovate in dynamic environments, while ethical decision-making will enable organisations to use AI responsibly. These skills, alongside technical expertise, will empower teams to thrive in a complex, AI-powered world.”

She added that HR must prioritise reskilling and upskilling initiatives: “Investing in training programmes and fostering a culture of continuous learning will prepare employees to meet AI-driven demands.”