Top HR Priorities for 2025 – Insight from HR Professionals

2025 is shaping up to be a transformational year for HR, especially in California and industries like healthcare, tech, and remote-first work environments. Here’s a look at the top HR priorities for 2025, based on industry trends and insights from HR pros and legal experts:

💼 Top HR Priorities for 2025 – Insight from HR Professionals

1. 🔍 Employee Classification (Exempt vs. Non-Exempt)

• Why it matters: Misclassification lawsuits are up, and CA is strict.
• Action: HR teams are auditing roles, ensuring compliance with updated wage thresholds and duties tests, especially with hybrid roles and evolving job descriptions.

✅ Healthcare focus: Many salaried clinical staff are still non-exempt under CA law.

2. 💰 Compensation Transparency & Pay Equity

• California law requires pay scale disclosures in job postings.
• Companies are focusing on:
  • Internal equity audits
  • Transparent pay bands
  • Proactively correcting disparities

⚖️ 2025 hot topic: “Equal pay for substantially similar work” is being tested more across remote and hybrid teams.

3. 🧠 Employee Mental Health & Wellbeing

• HR is rethinking benefits, EAPs, time-off policies, and workload management.
• Focus on preventing burnout, especially in high-stress fields like healthcare.

💡 Trend: Some companies are introducing mental health PTO or “reset weeks”.

4. 🌍 Diversity, Equity, Inclusion & Belonging (DEIB)

• Even with pushback in some states, CA companies continue to lead in:
  • Inclusive hiring practices
  • Neurodiversity and disability inclusion
  • Bias-free promotion pipelines

📊 HR teams are using data to track progress and tying DEIB to leadership KPIs.

5. 💻 Hybrid/Remote Work Strategy

• HR is navigating:
  • Remote compliance (labor laws by location)
  • Productivity monitoring vs. privacy
  • Onboarding and culture in a hybrid environment

📌 Healthcare twist: How to integrate in-person clinical teams with remote admins, billing, and telehealth workers.

6. 📚 Learning & Upskilling

• Employees want career growth.
• HR is investing in:
  • Microlearning
  • Certifications
  • Internal mobility

🔁 Retention strategy = grow talent from within rather than replacing them.

7. ⚖️ Compliance and Labor Law Changes

• 2025 brought updates to:
  • Minimum wage
  • Paid sick leave (now up to 5 days in CA)
  • Protected leaves (CFRA, PFL, etc.)

📌 HR must stay ahead of local ordinances (SF, LA, etc. have their own rules).

8. 🤖 HR Tech & AI Integration

• Automation in:
  • Recruiting (AI screening + bias audits)
  • Onboarding
  • Payroll/time tracking
• But: HR teams are also focused on ethical AI use and avoiding discrimination risks.

9. 📈 Retention & Engagement

• Employees in 2025 expect:
  • Flexibility
  • Purpose-driven work
  • Recognition

💬 HR is building better feedback loops, stay interviews, and real-time engagement data.

10. 🛡️ Workplace Safety & Crisis Response

• Still a big priority post-COVID:
  • Infection control (esp. in healthcare)
  • Active shooter and mental health response training
  • Cybersecurity for HR systems