Quick look: A new year is here, and with it comes a fresh set of workplace trends, from further incorporating artificial intelligence into daily tasks to designing comprehensive succession plans. Here, discover the key insights outlined in ExtensisHR’s 2025 HR Trends Report and learn how brokers can leverage these emerging developments to strengthen client relationships. You may also download the entire report using the button below.
Human resource (HR) trends evolve rapidly, and brokers must stay ahead of the curve to provide the most relevant and impactful solutions to their clients.
As a broker-friendly professional employer organization (PEO), ExtensisHR strives to keep its partner community informed of the latest industry developments. Our 2025 HR Trends Report provides a deep dive into the upcoming year’s top five advancements, with commentary from several thought leaders:
- David Pearson, Senior Vice President, People & Culture, ExtensisHR
- Samrah Kazmi, Chief Innovation Officer, RESRG
- Dan Toomey, Director, 401(k) Programs, ExtensisHR
- Susan Russo, Principal, Susan Russo HR LLC
- Sandra DiNuzzo, Vice President of People, CQ fluency
- Peter Phelan, Founder & CEO, ValuesCulture
The below includes an overview of each trend and related tips for brokers. Further details and potential action items for your clients can be accessed in the complete report.
Trend 1: Continued adoption of artificial intelligence (AI)
This year, AI will continue to change people’s personal and professional lives. AI-powered tools can simplify everything from drafting corporate emails to organizing your daily to-do list.
These applications already prove valuable to employees. For instance, consider the following statistics from the 2024 Work Trend Index Annual Report from Microsoft and LinkedIn:
- 75% of people use AI-powered technology at work
- 90% claim it saves time
- 84% believe the tools help them be more creative
- 83% say AI enables them to enjoy their work more
- 79% of leaders agree their business needs to adopt AI to stay competitive
But how can employers make the most of this innovation?
- Broker tip: Brokers can encourage their clients to discuss three major AI-related talking points in 2025:
- Using AI to maximize current operations: Some business leaders may not realize that AI can elevate existing technologies. For example, a client using a legacy applicant tracking system (ATS) may use parts of that program but find the resume-screening process tedious. An AI-driven program can streamline that task without replacing the current system.
- How AI makes recruiting more equitable: AI can enable HR professionals to recruit more fairly by focusing on skills and qualifications instead of unintentional socioeconomic or demographic factors.
- The need for AI policies and cybersecurity readiness: AI-powered applications are new, meaning clear and comprehensive policies surrounding their usage must be developed. And unfortunately, AI-driven cyberattacks are on the rise. Business leaders should prioritize cybersecurity training, implement cybersecurity plans, and obtain adequate cyber insurance and liability coverage.
Trend 2: Evolving employee benefits packages
Employee benefits are an ever-changing aspect of workplace culture, reflecting shifts in societal priorities, economic trends, and labor force demographics. To foster success in 2025, clients should confirm their benefits packages remain relevant or adjust them accordingly.
- Broker tip: Brokers can assist clients with strategizing benefits by informing them of some recent workforce developments:
- Personal finance priorities: Nearly half of employees report that inflation has majorly or severely impacted their finances over the past year. As a result, many now value financial wellness programs. Clients can appeal to these workers by offering programs like student loan assistance, education workshops, and more.
- 401(k) plans for employee financial security: 62% of employees consider the availability of a retirement plan when deciding whether to accept or remain in a job, making it vital that clients provide a 401(k).
- The critical need for customization: Workforce demographics change quickly, and in the new year, HR leaders should determine which pain points their current benefits solve and how to better empower their staff.
Trend 3: A focus on leadership development
Did you know that just 10% of people possess a natural ability to manage others? As a result, in 2025, organizations will prioritize coaching and training their management staff.
- Broker tip: You can support clients on this mission by suggesting they:
- Leverage employee feedback: A robust performance management process is necessary and should include regular performance reviews, anonymous suggestion channels, etc.
- Encourage empathy: Empathetic leaders foster strong relationships, effective communication, employee engagement, and more. However, while 80% of senior leaders believe showing empathy is important, less than half think their company does so effectively.
- Encourage managers to see the glass as half full: With an optimistic but realistic viewpoint, managers can help their direct reports experience higher morale and productivity.
Trend 4: Investment in comprehensive talent management
Effective, thorough workforce management will be crucial this year, from initially identifying hiring needs to succession planning for key personnel.
- Broker tip: Brokers can reiterate to clients that their PEO partners can aid them with:
- Strategic hiring and workforce planning: A sustainable hiring strategy is necessary for your clients to succeed, and a PEO’s recruiting team can help them consider emerging talent pools like returning retirees.
- Onboarding and employee development: Formal, structured onboarding processes—which a PEO’s HR experts can help design—give new hires a comprehensive understanding of your client’s company and culture.
- Employee transitions and workforce mobility: This year, it’s critical that clients manage transitions in compliance with laws like the Worker Adjustment and Retraining Notification (WARN) Act, something a PEO’s risk and compliance team can assist with.
- Succession planning and talent development: A PEO’s HR Managers can help clients avoid being short-staffed by designing succession programs that show employees how they can progress within the business.
- Globalization: By leveraging worldwide employees, clients can access more talent, increase flexibility, and raise revenue. However, they must pay close attention to other regions’ employment regulations, something some PEOs specialize in.
Trend 5: A commitment to company culture
Like in recent years, 2025 will see employees placing a high priority on working for organizations that align with their values and offer a respectful work environment.
- Broker tip: You can help clients remain competitive by urging them to assess their company cultures and confirming they:
- Encourage open communication: Consider developing open dialogue and feedback channels so workers can freely voice concerns or suggestions.
- Consider multi-generational needs: The modern labor force includes five generations (Baby Boomers, Generation X, Millennials, Generation Z, and the Silent Generation). As such, clients should adapt their communication strategies and leadership styles to meet their unique workforce demographic.
- Track diversity, equity, and inclusion (DEI) initiative effectiveness: Clients should closely monitor progress toward their DEI objectives to ensure they cultivate meaningful change.
Partner up for a powerful new year
As a broker, you’re a trusted advisor, and your clients look to you to help solve their employer-related challenges. Partnering with the right PEO, such as ExtensisHR, enables you to simplify that process and deliver high-quality solutions that remedy your clients’ specific pain points. For example, ExtensisHR offers:
- Personalized employee benefits plans at competitive rates, as well as benefits administration and management services
- Dedicated, SHRM-certified HR Managers who assist with crafting policies and procedures
- A team of risk and compliance experts to keep employers compliant with local, state, and federal laws
- An intuitive DEI Dashboard providing valuable, real-time data on pay equity, salary trends across both gender and race demographics, employee turnover, promotions, and more
- Affordable access to 15Five, an industry-leading employee engagement and performance management platform
At ExtensisHR, we understand that workplace trends and your clients’ needs fluctuate. As a broker-friendly PEO, we’re dedicated to helping you grow your book and strengthen your portfolio in 2025 and beyond.
Are you prepared to guide your clients through emerging HR developments? Download our 2025 HR Trends Report for the insight you need, or contact ExtensisHR to learn more about partnering with us.
Download ExtensisHR’s 2025 HR Trends Report
Explore emerging workforce trends to help you guide your clients’ HR strategies in 2025 and beyond.
