Report: 2025 global workforce report
Lean HR on a global scale – intentional AI is shifting the global workforce
Discover findings from over 3,650 HR and business leaders about the expansion of lean HR teams. See which regions are experiencing faster international hiring, which risks are costing companies millions, and how new‑generation technology and fresh operating models enable them to keep pace.
What to expect inside:
- How an integrated payroll, compliance and people ops stack, combined with AI, supports small HR teams
- Which regions are seeing hiring surges, and why most new hires are forecast to be overseas by 2026
- Playbooks for leaders to tackle cross-border challenges (from EOR to unified payroll)
Download the report (shared – payroll reports status)
Download the report
The next wave: when global hiring surges, advanced automation keeps it manageable
International hiring shows no sign of slowing, and HR teams are shifting to new approaches. Departments that are often fewer than 10 people are now responsible for payroll, compliance and hiring across multiple countries, with AI and integrated systems at their core.
Smaller teams are now executing global strategy more intelligently, more rapidly and with greater intuition, demonstrating that HR’s impact is shaped not by headcount but by the tools and processes in place.
In practice, small HR teams are accomplishing the work of much larger ones — and they are succeeding. They do this by leveraging established EOR partnerships while also advocating for tighter integration between payroll and HRIS.
Companies that handle cross-border regulations, contractor classification and multi-currency payroll intelligently can avoid risk and moving into new markets faster.
“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 central to success
Teams that are making meaningful progress with new tools apply AI deliberately, exercising enough foresight to avoid excess. That reduces noise and repetitive admin, and gives teams room to focus on higher-impact objectives. Poorly applied AI generates more work; when AI is thoughtfully embedded in the right systems, it produces the opposite effect for a global enterprise. All-in-one platforms with a responsive, adaptable HRIS provide lean teams with a single location to manage hiring, payroll and compliance. Combined with self-service employee portals and smart automation that handles routine admin behind the scenes, HR is able to devote time to culture, retention and strategic growth plans. With foundations like this, small HR teams can scale workforces and deliver an agile employee experience across all markets.
Move with the next wave: hyper-global growth is accelerating now and set to continue. Find out how in the 2025 global workforce report
By numbers: Compact snapshots of the second-wave expansion, for global reach and micro HR
Small HR teams are shouldering global responsibilities
Most companies no longer have large HR departments, but they still manage hiring, payroll and cross-border compliance—often more effectively.
87%
Of companies report HR teams of fewer than 10 people
International hires are increasingly the default
Leaders anticipate that most new roles will be filled overseas, signalling that international hiring is now routine rather than exceptional.
73%
Expect that over half of new hires will be international by 2026
Automation is taking on HR’s heavy lifting
AI and automation are being embedded into HR operations, cutting admin burden and freeing teams to focus on growth, people and culture.
64%
Of routine HR tasks are projected to be automated by 2026
Compliance is where companies struggle most
Cross-border expansion is accelerating, yet many employers continue to face regulatory hurdles that delay progress and increase costs.
74%
Have encountered compliance challenges overseas
$42,000
Average cost incurred by each compliance incident
Actionable findings in the report
About the scope and dataset used:
To assemble 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 frustrated by having to manage multiple systems. Many are actively searching for a replacement for their HRIS.
In fact, 51% say they are currently searching for a new platform, and another 36% would consider switching later for a single, integrated solution that can handle global payroll, compliance, and reporting.
The report examines how organisations are managing this transition and what “good” looks like.
Employer of Record services are now mainstream, moving beyond niche solutions.
55% of companies with international employees already use an EOR, and overall satisfaction is strong, 76% of leaders using EORs report they are satisfied with the model. The report explains how leaders are weighing entity setup, contractor strategies and EOR partnerships, and which mix works best in practice.
Increasingly, contractors are treated as an intentional element of workforce planning instead of a stopgap. 79% of leaders report that contractors and freelancers have become a more significant part of their strategy.
Many organisations depend on contractors to test new markets, provide niche skills and scale headcount flexibly without long-term risk. The report examines how companies balance this tactic with the realities of compliance and misclassification.
Employees are pressing for clearer answers on pay. 82% of HR leaders say there is increased pay pressure driven by cost-of-living rises, while 77% believe that pay transparency will strengthen culture. The report examines how leaders are addressing these twin pressures by re-evaluating compensation, retention and global fairness.
Unsurprisingly, AI is now embedded in everyday HR, though uptake is uneven. 64% of leaders anticipate that two-thirds of HR’s routine tasks will be automated by 2026.
Meanwhile, 28% stopped using an AI hiring tool due to fairness concerns, while 27% adopted new ones.
The report highlights where AI is already impactful, where it causes problems, and how leaders are approaching governance.
Most companies have received employee requests to relocate or to work while travelling during the past year.
80% of leaders reported getting such requests, so employee mobility is no longer an 'edge case'. HR must prepare now.
The report examines strategies for work-from-anywhere requests, relocation policies, and payroll and compliance tools for a workforce that will not remain in one location.
