Forecasting HR: 5 Trends for 2024

A new year has begun! You've probably already set some goals and resolutions for your personal life to make this year better than ever - visiting new places, meeting old friends and loved ones, and generally becoming your best self.

IceHrm wants to help you do the same in the world of HR: We spoke to more than 300 HR professionals across the U.S. to find out what they think the new year will bring (and our suggestions for how you can prepare for it ).

From more humane and diverse workplaces to the smart and safe use of AI in the workplace and more, here are the top HR trends of the year, summarized by our respondents and the IceHrm teams in a short blog (read the full report for more details!).

2024: What we see in HR

1.People-centered cultures are replacing grinding cultures

Since the Great Layoff of 2020, employees from all industries, in all roles and with all seniority have shown their employers what is really important to them at work: that they are treated like a whole, real person and not like an anonymous widget.

And in 2024 this trend will only increase. Unemployment rates remain very low and workers know they have a choice about where they want to work. It's no surprise that they choose workplaces with a culture that puts their humanity at the center, rather than those that emphasize endless hustling and cramming.

What do these human-centered workplaces look like? They are all different (since both companies and people are unique), but they have one thing in common: they focus on the people in their company and their experiences as employees.

The employees of 2024 won't settle for less, and if they're dissatisfied, they'll make their feelings known with their feet as they walk out the door. If your company doesn't put people first, this is the year to figure out how to change that.

2.Performance empowerment instead of management

How often have you had a conversation about performance management in your professional career, e.g. Leave your annual review with a feeling of enthusiasm, clarity and commitment? If you're lucky, you can probably count these opportunities on one hand. In fact, fewer than one in five employees feel inspired by their performance reviews.

The traditional performance management system is daunting (to say the least). Feeling "managed" does not give employees a sense of autonomy or empowerment, and it often feels more like being called to the principal as a school child than growing professionally as an adult.

Instead of managing employee performance from the top down, HR teams and companies will shift to empowering employees to perform at their best and grow within the company. Instead of just looking backwards at performance, companies will move to forward-looking conversations to help employees achieve the careers they want. Instead of requiring managers to act as evaluators and task managers, they are encouraged to act as coaches and career promoters, which is also much more appealing to them.

3.AI and automation advance (wisely)

In 2023, most of us have spent a lot of time (perhaps too much time) hearing about everything AI will change - workplaces, interactions, and even our jobs. But as much as we've learned about the amazing capabilities of tools like ChatGPT, we've also learned about their limitations, such as: Hallucinations, copyright issues and data sharing.

These advances and drawbacks mean that 2024 is going to be pretty interesting. How will we use AI to increase HR productivity, improve employee performance, and increase business efficiency?

But these are not the only questions AI will raise in 2024. There is also a lot of fear among workers about how AI will not only change their work, but potentially even replace it. Only 35% of employees expect AI to have a positive impact on their workplace, while 66% of managers agree (and this tension will be another interesting trend).

HR teams will have their hands full in 2024 balancing the enthusiasm of managers with the needs and fears of employees. Integrating AI into the employee experience may not be easy due to legal and security issues, but it can help employees focus more on the work they really enjoy doing.

4.The return to the office is really happening

2020 saw many employees leave the office en masse, and employers are eager to bring them back to their physical desk. Workers, on the other hand, have become accustomed to days when they don't have to wear proper pants, commute, eat a sad lunch at their desk, and sit in rush hour traffic or on a crowded subway.

As we enter 2024, employers are just as eager to get their employees into the office more often. Nine out of 10 companies say they will have RTO policies in place by the end of this year, and nearly 30% say they will fire employees who don't comply. No wonder office work has reached a post-pandemic high.

Many employees don't mind spending a few days a week in the office - some even like it. But requiring all employees to come into the office five days a week, every week, with a vague justification like "company culture" won't go down well with employees.

There are many ways to improve company culture, and they don't include sitting in a beige cubicle all day every day just because managers don't know how to accurately measure productivity. Hopefully, in 2024, HR teams will get creative to bridge these divides and find solutions that work for all employees, regardless of where they work.

5.Reinvent and reimagine DEI

In 2024, just focusing on the first third of DEI will no longer be enough. While diversity is a good start, it is now clear that it alone is not enough to create fairer and better workplaces.

It is also important to create a workplace where employees feel that they can contribute their whole selves and that they are accepted and valued for who they are. This feeling of inclusion also means that they feel like they have a voice and can use it. Equality is also more important than ever, especially as more states enact pay transparency laws so employees know what their colleagues (and managers) are making.

Companies (and their HR teams) need to focus on a more holistic approach to DEI in 2024, embedding all three pillars of DEI into the foundations of their organizations rather than relying on their legacy diversity programs. It's an exciting part of the evolution of the world of work as we create a more inclusive and equitable experience for every employee.

The most important findings

While we can't predict exactly what 2024 will bring to the wider world (like the Super Bowl winner), these HR predictions and trends are backed by a whole host of data, expert voices, and hours of internal discussions. We're confident they'll help you and your HR team navigate another year of big change and let you learn about ChatGPT and Commuting.

As 2024 unfolds, HR faces pivotal shifts. Embrace trends like people-centric cultures and AI ethics with IceHrm insights.