HR Trends 2024 – Things to keep an eye on

Three crucial HR trends in 2024:

Dialogue on Artificial Intelligence (AI)

There is little doubt that the abbreviation AI (artificial intelligence) holds immense potential for change. Increased automation in the recruitment process, for example, can free up resources for HR departments, enabling them to focus more on supporting leaders in strategic and complex management issues.

AI can also be utilized to create individually tailored development programs that consider each employee's strengths and weaknesses. This enhances the precision of investing in further training for existing employees, making it more cost-effective.

AI does not replace the human HR function but should be seen as a tool for better resource utilization. When handled properly, AI-generated data can yield valuable insights and business value.

However, the challenge lies in many organizations blindly embracing the technology without further considerations. The drawbacks have become increasingly apparent, as demonstrated by the Hollywood screenwriter strike of 2023. This has contributed to the counter-reaction that will shape the future development and use of AI.

To achieve success, both in terms of soft values and financially, we must consider potentials and risks when investing in new technology. It is crucial to have a clear AI policy in place and be completely transparent with employees about how collected data will be used.

The discussion about ethics and personal integrity regarding AI data collection and processing is inevitable – 2024 is the year when we take AI questions seriously.

Transparent salary fosters strong relationships

The pandemic marked a paradigm shift in our perception of where, when, and how work can be performed. As a result of this shift, trust-based leadership has become even more crucial. One of the driving forces behind this development is the fact that personal engagement enhances development potential - both for the individual and the organisation as a whole.

However, there is a crucial factor for achieving success in building a trust-based relationship that must not be overlooked: A transparent salary policy, essential for retaining the talents within the organisation.

Why? As is widely known, recruitment is an expensive affair, and the competition for talent is fierce. Therefore, it is becoming increasingly important for employers to take good care of their existing workforce. It is crucial to act in time because when an employee approaches their leader or manager with a salary offer from a competitor, it is often already too late to match that offer.

The solution to preventing employees from seeking new opportunities is to focus on transparent salary and demonstrate clear development opportunities. Therefore, it is important to specify what the company values, what influences the salary, and what the salary levels for different roles look like.

Transparency regarding the terms for specific roles also makes it easier to facilitate a constructive dialogue about what is required to achieve the desired salary and what other development opportunities exist within the company.

Transparent salary is not only an advantage for retaining employees. It is also effective when recruiting new ones. Those who dare to be transparent in 2024 gain an edge in the hunt for future talent.

Digital HR solutions that enhance business operations

The development of digital HR solutions continues to accelerate, with an increasing number of organisations recognising the benefits of abandoning homemade, inefficient systems used for tasks ranging from absenteeism to pulse measurements.

The situation is similar when it comes to securely managing personal data in compliance with GDPR regulations. In this context, digital HR solutions will prove to be immensely helpful or even essential for many.

One trend impossible to overlook in 2024 involves adopting a contemporary approach to investing in digital HR solutions. Transitioning from being perceived solely as a means to fulfil fundamental requirements like ensuring organizational compliance with labour regulations, there is a growing awareness of the potential for business advancement.

By implementing an integrated platform within your organisation, you can generate enhanced data, which can be used to prevent expensive absences due to illness and effectively attract and retain talent.

In 2024, it is crucial for all businesses, regardless of their size, to integrate digital HR solutions into their strategies in order to promote successful business development.