Overview: 2025 global workforce report
Lean HR at global scale: intentional AI is shifting the global workforce
Explore findings from over 3,650 HR and business leaders about the growth of lean HR teams. See where global hiring is accelerating, which risks are costing companies millions, and how next‑gen tech and new operating models help them keep up.
Here’s what you’ll find inside:
- How AI and an integrated stack for payroll, compliance and people ops supports small HR teams
- Which markets are seeing a surge in global hiring, and why most new hires are forecast to be overseas by 2026
- Playbooks for leaders tackling cross-border challenges (from EOR to unified payroll)
Download the report (shared — report on the state of payroll)
Download the report
The next wave: pioneering automation keeps large-scale global hiring manageable
International hiring continues to accelerate, and HR teams are adapting with new approaches. Teams often under 10 people are handling payroll, compliance, and hiring across multiple countries, with AI and integrated systems at their core.
Smaller teams now deliver global strategy more intelligently, faster and with better instinct, proving HR’s impact is driven by the tools and processes you use—not headcount.
In practical terms, small HR teams are executing the work of much larger groups and succeeding. They do this by relying on existing EOR partnerships while pushing for tighter payroll and HRIS integration.
Companies that manage cross-border regulations, contractor classification, and multi-currency payroll intelligently can avoid risk and move 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 make the difference
Teams that are making real progress with modern tools apply AI deliberately, with enough planning to avoid excess. That reduces noise and repetitive admin, and gives teams room to focus on higher-value priorities. Poorly applied AI increases work; when it’s integrated thoughtfully into the right systems, it delivers the opposite effect for a global organisation. All-in-one platforms with a responsive, adaptable HRIS give lean teams a single place to manage hiring, payroll, and compliance. Combined with self-service employee portals and smart automation that handles routine admin behind the scenes, HR can spend more time on culture, retention, and growth plans. With foundations like this, small HR teams can scale workforces and create an agile employee experience across every market.
Move with the next wave – hyper-global growth is already underway and set to continue. Find the 'how' in the 2025 global workforce report
By numbers: Quick snapshots of the second-wave expansion, for global scale and micro HR
Small HR teams are shouldering global work
Most firms no longer maintain large HR departments, yet they still coordinate hiring, payroll and cross-border compliance — and frequently do it better.
87%
of companies operate HR teams of fewer than 10 people
International hires are becoming the default
Leaders anticipate most new roles will be filled overseas, underscoring that international hiring is now the norm rather than the exception.
73%
expect more than half of new hires will be international by 2026
Automation is handling HR’s heavy lifting
AI and automation are shifting into the background of HR work, cutting admin time and freeing teams to focus on growth, people and culture.
64%
of routine HR tasks will be automated by 2026
Compliance is the area where firms stumble most
Cross-border expansion is accelerating, yet many employers still face regulatory hurdles that slow progress and push up costs.
74%
have encountered compliance challenges overseas
$42,000
average cost per compliance incident
Practical insights from the report
About the survey scope and the 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 data sends a clear signal: leaders are fed up with managing multiple systems. Many are actively looking to replace their HRIS.
In fact, 51% say they’re searching for a new platform at present, and another 36% would consider switching in future, in exchange for a single, integrated solution that can handle global payroll, compliance, and reporting.
The report examines how companies are managing this change and what “good” looks like.
Employer of Record services have moved into the mainstream, leaving niche-solution territory.
55% of companies operating internationally already use an EOR, and satisfaction is strong, 76% of leaders using EORs say they’re happy with the model. The report explains how leaders evaluate entity setup, contractor usage, and EOR partnerships, and which mixes work best in practice.
Increasingly, contractors are seen as a deliberate element of workforce design, not merely a fallback. 79% of leaders report contractors and freelancers have grown in strategic importance.
Many organisations use them to pilot new markets, access specialist skills, and flex headcount without long-term commitments. The report looks at how firms balance this approach with compliance realities and misclassification risks.
Employees are asking tougher questions about pay. 82% of HR leaders report increased pay pressure because of cost-of-living rises, while 77% believe pay transparency will strengthen culture. The report looks at how leaders are responding to these twin pressures by rethinking compensation, retention, and global fairness.
Unsurprisingly, AI is now part of everyday HR, although adoption varies. 64% of leaders expect two-thirds of HR’s routine tasks to be automated by 2026.
At the same time, 28% said they stopped using an AI hiring tool due to fairness concerns, while 27% adopted new ones.
The report highlights where AI is already effective, where it’s causing problems, and how leaders are managing governance.
Most companies received requests from employees to relocate or to work while travelling over the past year.
80% of leaders reported receiving these requests, so employee mobility has moved out of the 'edge case' camp. HR must plan for this now.
The report examines strategies for work-from-anywhere requests, relocation policies, and the payroll and compliance tools needed for a workforce on the move.
