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6 New HR Technology Trends Going into 2022

The past couple of years were proven to be intense catalysts of change for individuals, families, and for businesses. And with the widespread adoption of remote work, HR technology is of top importance for today’s people teams.

Flexible working options, which were on the rise before the pandemic, have become the norm. The importance of inclusion initiatives has been magnified by enduring inequality. Supporting employee wellness, both physical and mental, feels more urgent than ever before. Going into 2022, we see HR technology trends supporting businesses, offering tech solutions to address both new and persistent problems.

In this post, we’ll cover the latest technology trends in HR technology that you should look out for and show you how these difficult times have created essential tools.

What is HR Tech?

If you have wondered, “What is HR technology?” you are not alone. HR tech (or human resources technology) is an umbrella term that includes the tools HR managers use to deliver a better employee experience.

HR software can securely store data, automate daily processes, and provide analytic tools to drive more strategic decision-making. Functions such as pay, benefits, recruitment, onboarding, performance management, and employee communication can all be managed on a digital HR platform. Automating these processes not only saves your business time and money. It also reduces opportunities for human error, limiting liability and preventing costly mistakes from occurring. Cloud-based HR software is accessible from anywhere, making it perfectly suited to the current work-from-home climate. Employees and employers can upload or check data from home or on the go.

In the 21st century, this HR technology is no longer optional; it is essential for an organization’s success. Research shows that organizations that use HR software outperform those that do not. HR professionals who don’t take advantage of software may fall behind. What’s more, HR technology in 2020 has developed at warp speed over the last year, in order to meet the changing needs of businesses. HR technology is more integral and better integrated than ever before.

Why Is HR Tech Important?

Thanks to digitalization and the technological revolution, the world in which we live is now very different from the one we lived in ten years ago. The world around us is changing and technology is disrupting our lives. If the past few years and the COVID-19 pandemic have shown us anything, it is that we are increasingly reliant on the tech that surrounds us. It has kept us connected with our loved ones, and it has helped many of us to continue to work remotely. We value it because it makes our lives easier.

The same applies to HR tech. A report on HR technology by PWC last year found that companies are placing increasing importance on human resources technology. The report explored the effectiveness of technology investments from the views of 600 HR and HR information technology (IT) leaders around the world. According to their results, increasing numbers of organizations are using HR tech as a tool for success in the future of work.

HR Tech Solutions Will Bring About Change

Technology is revolutionizing daily HR processes. Here are some of the ways that HR tech solutions benefit your business.

Boost Efficiency

HR teams have a lot of responsibilities and there’s no room for mistakes. HR technology helps to streamline and simplify organizational tasks. It also provides one central platform for all HR functions, reducing confusion and limiting mistakes. This saves time not only for HR professionals but for employees who want to submit requests, adjust information, or review their data.

Attract Talent

Millennials, the first generation of digital natives, are currently the largest cohort in the workforce. They expect employers to provide the most up-to-date technologies, which include HR software for managing their time or records. To appeal to skilled workers, businesses must offer tools that empower employees to work where and how they want to.

Make Informed Decisions

Your business is producing data every day. The question is, are you taking advantage of it? Proactive organizations are putting their records to use with data analytics which provides valuable insights into daily affairs. They also run custom HR reports about employee absences, productivity, and pay in order to get a sense of what’s really going on.

Focus on the Important Things

Freeing up HR professionals from tedious tasks means they have more time to focus on strategic decision-making. HR is a powerhouse of information. Given the tools to process data and apply their discoveries, they can do wonders for company culture.
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HR Technology Focus for the Future

As we continue to push forward into the future of work, there are a number of areas that we, as HR professionals, should be focusing on. What tactics will you use to attract the best talent? What employment model will your organization use in the future? Is performance management a priority for you? How do you expect your workforce to evolve? Are you anticipating growth? A shift in demographics? It’s important to consider all these factors before you selected the right integrated software solution for your organization.

You also need to think about attracting and retaining talent, employee development, and improving the employee work experience. Make sure you prioritize these issues when you develop your business strategies for the future.

6 HR Technology Trends Going into 2022

Looking toward the HR technology trends on the horizon for 2022, we see a strong influence of the past year and an ongoing movement toward digital transformation. Here are the technology trends coming to you.

1. Artificial Intelligence in Recruiting

Artificial intelligence is revolutionizing HR, and nowhere more than in recruitment. AI-based algorithms are changing the way employers find talent by offering a unique insight into applicants from a variety of sources, including their social media activity. IBM, for example, uses AI to analyze the social media shares of a potential hire. It also analyzes the sentences and facial expressions of the applicant to see if they’ll be a good fit. While this may seem a little scary (hello Minority Report), this power can be used to reduce hiring discrimination and create a diverse workforce.

2. HR Digital Transformation

While many companies have already begun their HR digital transformation journey, 2022 will see increased adoption. That is to say that technology will be integrated into every facet of HR. According to Forbes, Millennials are once again driving this trend, as they rely on automated tools for accounting, communication, and management. Digital transformation means a rise in self-service tools like automated onboarding and workflows. It also means that HR departments will leverage data to improve company culture and policy.

3. HR Technology to Remote Work Upgrades

After the pandemic, we moved out of our offices and onto our couches as work-from-home culture exploded. Signs indicate that the remote work trend will continue even if the pandemic wraps up. In addition to the wide range of tools already available for remote work, 2022 should see further upgrades. This means HR technology that employees and employers can access from anywhere. Not to mention, the total digitalization of processing, scheduling, and requests.

4. Performance and Wellness Management with HR Tech

In 2022, performance management will be a real-time, continuous, and integrated process. Annual Performance Reviews are quickly falling out of style as organizations move toward a system of frequent reviews (quarterly/monthly) with the ability to have even more granular weekly check-ins. HR Technology enables supervisors and employees to check in regularly, creating a cycle of expectation-setting and feedback. Employees will be more aware of their performance and supervisors will be able to be more specific in their expectations.

5. HR Technology to Ensure Data Protection

With data privacy laws passing around the world, businesses must start taking data security seriously. According to the California Consumer Privacy Act and New York’s Stop Hacks and Improve Electronic Security Act, employee data needs to be kept safe and secure. That means HR tools need to get up to speed when it comes to protecting sensitive identifying information. HR Technology should keep documents centralized and organized. Meanwhile, functions such as digital signature can keep contracts and payslips secure.

6. Digital Learning, Training, & Development

Surprisingly, the pandemic has created unprecedented opportunities for retraining and upskilling workers. Organizations started offering training modules to help employees to adjust to online-only work culture. But soon, they realized that this system could work well for more traditional training opportunities. Employee learning and development will be a key facet of HR technology moving forward. In short, businesses want platforms where they can share files and resources, automate workflows, and support employees pursuing professional development.

Half the battle of implementing HR technology will be in preparing your workforce to upgrade its tired old processes. Start soon so that your business can get up to speed in 2022.

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This post is also available in: Italiano, Brasil, English UK

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