The state of HR: hiring trends across commerce and industry, reward and HRIS
The first half of 2025 has brought a noticeable shift in hiring momentum across the HR landscape. According to Aseel Ibrahim, who leads the commerce and industry practice and Nick Arnold, Director and Head of Reward, HR Tech and Analytics, the HR job market has been unpredictable but increasingly active, particularly in generalist HR roles, reward and HRIS.
“There’s been a real change in gear,” Aseel noted, “in terms of urgency, calibre and the volume of roles.” While some areas have remained patchy, others have seen a surge in demand, especially for HR professionals with strong technical and analytical capabilities.
HR tech and analytics: where data meets decision-making
Aseel highlighted a growing appetite for HR operations leaders who can integrate new technologies and drive efficiency. “We’re seeing a huge demand for high-calibre talent who understand how to optimise processes and embed AI technology,” she said. These roles increasingly require fluency in data analytics, automation and the use of AI tools to support real-time decision-making.
The shift toward data-driven HR strategy is also being shaped by advancements in generative AI, chatbots and predictive metrics. “Organisations are moving toward data fluency,” Aseel explained. “They need the right systems in place to gather and analyse data and that’s becoming a top priority for HR teams.”
Nick noted that while 2024 saw a rise in dedicated people analytics functions, 2025 has seen those skills absorbed into broader HR roles. This reflects a wider trend in human resources: the need for agility, upskilling and cross-functional collaboration to meet the demands of the future of work.
The convergence of HR and IT
One of the most significant HR trends observed is the convergence of HR and IT functions. “We’re seeing HR operations professionals reporting into Chief Information Officers or even Chief AI Officers,” Aseel said. “That’s a big change.”
This integration is reshaping how HR departments operate. Organisations that foster close collaboration between HR and IT are better positioned to implement AI-powered systems, streamline HR processes and improve the employee experience. “The businesses that are succeeding are the ones dissolving those traditional silos,” Nick added.
This shift is also driving new challenges for HR leaders, who must now navigate technological advancements, data privacy and the ethical use of artificial intelligence in the workplace.
Commerce and industry: sector-specific shifts
From Nick’s perspective, the commerce and industry sector has shown resilience and adaptability. “We’ve seen strong hiring activity across medtech, SaaS businesses, media, transport and even retail,” he said. “There’s been a real push from startups and boutique firms, especially in the Series A–D space,” Aseel added.
In 2024, HR hiring in retail had slowed, but 2025 has seen a noticeable rebound, particularly among e-commerce businesses and traditional retailers undergoing digital transformation. “There’s some really radical thinking happening,” Aseel noted, “with companies reinventing themselves to be future-proof.”
The medtech and software sectors have remained steady, while manufacturing, energy and chemical industries which saw bursts of activity in 2024 have slowed this year, especially in regions like Scotland. We’ve also seen the media, FMCG and transport sectors performing better than last year. Meanwhile, larger PLCs and well-known tech giants have been more cautious, with hiring momentum driven instead by smaller, more agile businesses.
This has created opportunities for HR professionals who can support transformation, lead DEI initiatives and enhance employee engagement in fast-moving environments. The focus on company culture, wellness and flexible work arrangements is also shaping how businesses attract and retain top talent.
Talent acquisition, retention and the return of TA
After a challenging period for talent acquisition professionals, Aseel shared some encouraging news: “We’ve had more TA roles this quarter than we had in the first half of last year combined.” This resurgence reflects a renewed focus on workforce planning, onboarding and retention.
However, with many organisations relying more heavily on internal TA teams, some hiring processes have slowed. “We’ve seen roles advertised for long periods, with back-and-forth on job descriptions and salary benchmarks,” Nick said. “That’s where specialist recruiters still add real value.”
The renewed demand for full-time TA professionals also reflects a broader shift in how companies are approaching new hires, employee benefits and career development. With the pandemic accelerating remote work and hybrid work models, HR leaders are now rethinking how to build high-performing teams in a more distributed work environment.
Looking ahead: cautious optimism and a market ready to move
Despite ongoing geopolitical and economic uncertainty, both Aseel and Nick are optimistic about the second half of 2025. “There’s a lot of talent sitting tight, waiting for the right opportunity,” Nick said. “But once the market picks up a bit more, we could see a snowball effect: people moving, teams shifting and momentum building.”
For HR leaders, the message is clear: stay close to your networks, invest in upskilling and be ready to act. Whether it’s through leadership development, performance management, or new initiatives to support employee well-being and work-life balance, the second half of the year offers real opportunity for those prepared to move with the market. And as HR teams adapt to disruption and technological change, the ability to lead with empathy, agility and insight will define success.
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