Top 5 HR Challenges in 2023

Posted by Aileen Lynch on Mar 15, 2023
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From Allgo's annual HR Trends Report, here are the top 5 HR challenges for 2023 as reported by a 250 HR Leaders.

#1: Employee Engagement
Employee Engagement has made its way to the Top HR Challenge for 2023, which is unsurprising as companies continue to focus on their employees while a post pandemic work environment becomes established. With Employee Engagement being in the Top 3 challenges for the fourth year in a row it is clear companies are continuing to bring employees along with the company's mission & vision.

#2: Employee Health and Wellbeing
For the fourth year in a row Employee Health & Wellbeing is ranked in the Top 2 HR challenges. Whereas Pre-pandemic in 2019, Employee Wellbeing wasn’t even featuring in the top 10! The growing focus on employee health and wellbeing, with organisations looking to develop effective employee wellness programs, continues to be a post pandemic challenge. 

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#3: Employee Retention
Employee Retention is no longer the biggest challenge for HR, though it still remains a concern. Although Retention is no longer the main issue, two of the "what's in it for me" factors, Pay and Work/Life Balance remain the top retention factors for the year ahead.

#4: Training & Development
Training and development has made its way back into the Top 5 HR Challenges since 2021. Given that companies are still trying to figure out a balance of remote working and on site working can still present as a large issue. HR will have to try and potentially find the new ways of training while new employees are learning both online and in person. 

#5: People Leadership
Leadership has made its way back into the Top 5 HR Challenges, after dropping from the 3rd priority in 2021 to 6th in 2022. It is evident that People Leadership is becoming more important and more of a challenge. 

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Based on a survey of HR Leaders and Senior HR Managers, this report highlights the challenges and trends in HR for 2023. Download it for free today by clicking the Download Now

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Allgo's 5th annual HR Trends Report, giving a snapshot of the HR
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  • HR Priorities for 2023
  • HR Challenges in 2023
  • Recruitment Trends
  • Retention Challenges
  • Pay & Benefits
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Tags: employee retention, employee recognition, employee engagement, employee performance, human resources, hr, hr department, hr trends, hr insights, personnel department

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