2025 global workforce report
Lean HR at a global scale: intentional AI reshapes the global workforce
Find insights from over 3,650 HR and business leaders about the rise of lean HR teams. See where global hiring is accelerating, the costly risks organisations are facing, and how next gen tech and new operating models help them keep pace.
What you’ll find inside:
- How AI and an integrated stack for payroll, compliance and people ops fit small HR teams
- Which regions are seeing hiring surge, and why most new hires are likely to be overseas by 2026
- Playbooks for leaders to tackle cross-border challenges (from EOR to unified payroll)
Download the report (shared — current state of payroll reports)
Download the report
The next wave: when global hiring surges, pioneering automation keeps it manageable
International hiring continues to surge, and HR teams are changing how they operate. Small teams — often under 10 people — are running payroll, compliance and recruitment across several countries, with AI and integrated systems at their core.
Smaller teams are now delivering global strategy more intelligently, faster and with greater intuition, showing that HR’s influence is defined by tools and processes rather than headcount.
In practical terms, small HR teams are taking on the work of much larger departments — and succeeding. They do this by relying on existing EOR partnerships while pushing for tighter integration between payroll and HRIS.
Organisations that manage cross-border regulations, contractor classification and multi-currency payroll intelligently can avoid risk and move into new markets more quickly.
“The first wave of technology in HR made it possible to hire globally. The next wave is transforming how those teams are managed. Beyond supporting HR ops as standard, AI is becoming the operating system for how companies run a global workforce.”
Job van der Voort, CEO & co-founder, Remote.
Intentional AI and intuitive automation are essential
Teams that are making genuine progress with new tools apply AI deliberately and avoid overreach. That reduces unnecessary noise and repetitive admin, freeing people to focus on higher-impact work. Misapplied AI creates extra tasks; smartly integrated AI in the right systems does the opposite for a global business. All-in-one platforms with a responsive, adaptable HRIS give lean teams one place to manage hiring, payroll and compliance. Combined with self-service employee portals and background automation that handles routine admin, HR can concentrate on culture, retention and growth planning. With those foundations, small HR teams can scale the workforce and deliver an agile employee experience across every market.
Ride the next wave — hyper-global growth is rising today and set to continue. Discover 'the how' in the 2025 global workforce report
By the numbers: Snapshots of the second wave expansion for global scale and micro HR
Small HR teams are shouldering global responsibilities
Many organisations no longer maintain large HR departments, yet they still manage hiring, payroll and cross-border compliance — often more effectively.
87%
of companies operate HR teams with fewer than 10 staff
International hires are becoming the norm
Leaders anticipate most new positions will be filled overseas, signalling that international hiring is now standard rather than exceptional.
73%
expect over half of new hires to be international by 2026
Automation is taking on the heavy lifting in HR
AI and automation are being embedded into HR operations, simplifying administrative work and freeing teams to focus on expansion, people and culture.
64%
of routine HR tasks are forecast to be automated by 2026
Compliance is the biggest stumbling block for companies
Cross-border expansion is accelerating, yet many employers still encounter regulatory hurdles that slow progress and push up costs.
74%
have encountered compliance challenges overseas
$42,000
average cost per compliance incident
Actionable insights inside the report
About the survey scope and data:
To compile this dataset, we surveyed 3,650 HR and business leaders (director level and above) across the USA, UK, Germany, France, Spain, the Netherlands, Spain, Sweden, Australia, Singapore and South Korea.
The 2025 findings are clear: leaders are fed up juggling multiple systems. Many are actively seeking to replace their HRIS.
In fact, 51% say they are searching for a new platform right now, and another 36% would consider switching in future for a single, integrated solution able to handle global payroll, compliance, and reporting.
The report examines how companies are approaching this change and what “good” looks like.
Employer of Record services have moved into the mainstream, no longer confined to niche solutions.
55% of companies that employ internationally already use an EOR, and satisfaction is strong, 76% of leaders using EORs say they’re satisfied with the model. The report details how leaders balance entity setup, contractor strategies and EOR partnerships, and which mixes work best in practice.
Increasingly, contractors are treated as a deliberate element of workforce design instead of a fallback. 79% of leaders say contractors and freelancers play a more important role in their strategy.
Many businesses use them to trial new markets, access niche skills and flex headcount without long-term commitments. The report looks at how organisations balance this approach with the realities of compliance and misclassification.
Employees are asking tougher questions about pay. 82% of HR leaders say pay pressure has risen because of cost-of-living increases, while 77% believe pay transparency will strengthen culture. The report examines how leaders are responding to these twin pressures by rethinking compensation, retention, and global fairness.
Not surprisingly, AI is now part of day-to-day HR, though adoption varies. 64% of leaders expect two-thirds of HR’s routine tasks to be automated by 2026.
Meanwhile, 28% stopped using an AI hiring tool over fairness concerns, while 27% adopted new ones.
The report highlights where AI is delivering value, where it’s causing issues, and how leaders are handling governance.
Most companies have received requests from employees to relocate or to work while travelling in the past year.
80% of leaders reported receiving these requests, so employee mobility is no longer an 'edge case'. HR must plan for it now.
The report examines strategies for work-from-anywhere requests, relocation policies, and payroll and compliance tools to support a workforce that won’t stay in one place.
