Four HR Trends to Watch in 2026

I hope that everyone is enjoying this magical time of year. I love the festive lights, decorated sugar cookies, and crackling fire.

As I look back on 2025, I’m incredibly grateful for your continued trust and support, especially during a year of change as we joined the Yeo & Yeo family of companies. This transition has expanded the ways we can support you and your teams, helping take care of your people (and the inevitable people issues), so you can stay focused on running your business.

With that in mind, as leaders start planning for 2026, many are asking the same question: What should we be preparing for next? Based on what I’ve seen across organizations this past year, here are a few trends I expect to shape the year ahead.

  1. Recruiting: In my 30+ years of HR, I have never seen the kinds of transformational labor dynamics that we experienced in 2025. Layoffs were high, and top talent was hunkered down. After bonuses are paid out in January, I expect more people to be making moves. I also expect employers to focus on implementing strategies that they put together in 2025 to adapt to the changing world, which will result in headcount additions. AI will continue to be at the forefront. I encourage you to use AI carefully, especially when making hiring decisions. If you’re looking to grow your team in the new year, check out our various recruiting webinars that focus on recruiting strategy, interviewing skills, and finding executive talent.

  1. Leadership Development: I have seen a large number of “team cohesion” issues this year with clients. I believe that some of the causes are due to societal shifts, as well as challenges related to communication and interpersonal skills in the COVID-era virtual environments. Regardless of the root causes, the solution usually lies in emotional intelligence. Understanding yourself and then understanding others is incredibly helpful. Thus, I encourage your teams to lean into self-discovery and team building in 2026. Whether it is DISC, MBTI, StrengthsFinder, or one of the many other assessments available, plan some team-building activities that will help everyone broaden their perspective. Understanding why people do the things they do, and why you react the way you react, will dramatically improve your effectiveness.

  1. Compensation and Benefits: I never cease to be surprised by the variety of compensation practices out there, and the way they impact culture, organizational effectiveness, and teamwork. Make one of your New Year’s resolutions to have an updated compensation philosophy and structure that supports your organization. When it comes to benefits, I am particularly concerned about the costs of health insurance. However, I have seen some innovative approaches, such as direct care models. I plan to stay on top of this issue and will be hosting a webinar on the topic in the summer.

  1. HR Advisory Services: We continue to see different needs in this area and have tailored our programs and services accordingly. One option we now provide is Mineral HR, an HR and training platform available for a small monthly fee. We also have a new offering for office managers or controllers who play the role of “reluctant HR manager,” as well as one for solo HR generalists seeking a supportive community of people, tools, and technology. Please let me know if you would like details.

As you consider where to focus your time, energy, and budget in 2026, clarity is essential. That’s why I encourage you to start with our 15–20 minute HR Gap Assessment. It’s designed to help you identify where you’re well-covered and where potential risks or opportunities exist. You’ll also receive a complimentary meeting to review the results and discuss next steps.

Here’s to a thoughtful close to 2025 and a strong, well-supported start to 2026.

Happy Holidays,
Amy Cell
and the team at Yeo & Yeo HR Advisory Solutions

About The Author: Amy Cell

Amy Cell is a renowned and passionate pioneer in HR and Talent initiatives. She also leads an innovative consulting firm that specializes in recruiting and HR services for startups, small businesses, and municipalities.

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