She anticipates that human resources managers will play an increasingly important role in the year ahead as employers seek to motivate their staff to see the opportunities for personal growth that the new technologies represent.

As well as a specialist payroll service provider, SD Worx is also a leading human resources solutions provider. In this Q&A interview, Eimear Byrne takes a closer look at what she expects will be the key HR trends for 2025.

What steps are HR managers taking to champion the continuing learning of their employees, notably in the context of AI and other tech skills? 

Eimear Byrne: HR managers are increasingly recognising the importance of continuous learning, especially in the rapidly evolving fields of AI and technology. By emphasising the importance of lifelong learning, HR managers can help employees to harness new AI and automation tools for appropriate activities which will give space to focus on boosting human-centric skills like emotional intelligence and creativity.

Steps HR managers are taking include offering training programmes focusing on AI, data analytics, and other tech skills. They are leveraging learning management systems (LMS) and AI-driven platforms to personalise learning experiences and track progress. They are also crafting personalised learning journeys tailored to individual needs and career goals, ensuring that each employee receives the support and resources necessary to thrive in a tech-driven environment.

Moreover, HR managers are actively promoting a culture that values continuous improvement and encourages employees to take initiative in their learning journey. This can include establishing a coaching programme to develop AI and tech skills and incentivising learning as employees upskill. This holistic approach to continuous learning is crucial for future-proofing organisations and maintaining a competitive edge.

However, HR teams need to balance human-centric skills with AI literacy. This dual focus ensures employees can leverage AI effectively, while retaining their creative and adaptive strengths. By adopting a hybrid AI approach, HR is optimising the benefits of AI while maintaining a focus on human value, training employees to recognise tasks best handled by AI versus those requiring human adaptability.

By embedding AI and automation into daily workflows, offering targeted training, and fostering a culture of continuous learning, we empower our workforce to thrive in a landscape that’s both human-centric and AI-driven — a key trend shaping HR’s future.

What are the opportunities and risks with the use of ‘Responsible AI’ in recruitment?

EB: Responsible AI in recruitment offers significant opportunities, such as streamlining candidate screening and selection processes, providing data-driven insights for better hiring decisions, and enhancing the candidate experience through personalised feedback and smoother application journeys. It also enables organisations to source talent globally, fostering diversity and inclusion.

However, these benefits come with risks. AI systems can unintentionally reinforce biases present in historical data, raising concerns about fairness. Privacy issues may arise if candidates feel uncertain about how their data is used, and over-reliance on AI can lead to overlooking human qualities such as cultural fit. Additionally, failing to meet ethical and regulatory standards, such as the EU AI Act, could result in legal and reputational challenges.

Do you see SD Worx’s personalised payroll experience as a useful example of how HR managers can put people at the centre of company culture? 

EB: SD Worx’s personalised payroll experience is a compelling example of how HR managers can put people at the centre of company culture. The integration of HR and payroll technology with MegaPay On-Cloud supports employees’ financial well-being with accurate, timely payroll underpinned by secure access, transparency, and self-service capabilities. These innovations support modern workforce needs, such as hybrid work and financial resilience.

In addition, a personalised payroll environment can enhance transparency regarding compensation structures and benefits. Providing employees with the tools to manage their payroll and benefits empowers them and builds trust, positively contributing to the overall workplace environment.

SD Worx emphasises the role of payroll in reflecting the “value of work” and aligns it with broader HR strategies, demonstrating that payroll is more than a transactional process—it’s central to employee engagement and organisational culture. This approach exemplifies how thoughtful payroll management contributes to a people-centred culture.

With more people leaving the labour market than entering, will these present challenges around a shrinking talent pool in 2025 and beyond? 

EB: Yes, a shrinking talent pool, with more people leaving the labour market than entering, will present significant challenges for employers. This will lead to increased competition for skilled workers, making it more difficult for organisations to attract and retain talent.

Organisations will be under pressure to adapt to a more global, remote, and diverse workforce. HR teams will need to optimise their organisational structures to support diverse and adaptive teams.

Employers may need to consider more flexible and appealing reward policies to stay competitive. The demand for greater autonomy over finances and clearer communication regarding payroll emphasises the necessity for employers to adapt to these employee needs.

Crafting personalised employee journeys will also help to attract and retain talent, necessitating a shift from separate technology solutions to integrated systems. A smaller workforce drives the need for adoption of AI and technology, and organisations may need to increasingly invest in technology to compensate for any lack of talent.

In Ireland, recent employee legislation will also impact these dynamics. The Gender Pay Gap Information Act requires organisations to report on pay disparities, pushing HR to address inequalities and promote fairness. Flexible and remote work legislation will support work-life balance and potentially increase job satisfaction and retention, but it will also require robust policies and infrastructure to manage remote teams.

By addressing these areas, organisations can better manage the challenges of a shrinking talent pool and create a more resilient and adaptable workforce.