Economic uncertainty and rising expectations are pressuring workplaces to invest in leadership development and employee experience, even as artificial intelligence integration accelerates, according to two new research reports from SHRM.
The organization released its 2026 State of the Workplace and 2026 CHRO Priorities and Perspectives reports on Wednesday, surveying more than 4,000 workers, HR professionals and chief human resources officers between October and November 2025.
Leadership tops priorities
Nearly half of CHROs identified leadership and manager development as a top priority for 2026, marking the second consecutive year it has ranked first, according to the CHRO report.
Workers, HR professionals and HR executives agree that salaries and burnout are leading concerns, but employers highlighted effective leadership and management as their primary workplace need, the research found. Workers identified sustaining employee engagement as the top issue HR departments should prioritize in 2026.
Economic pressures mount
Economic uncertainty has overtaken wage inflation as the top concern for CHROs, with 43 per cent citing rising operational costs and 42 per cent feeling pressure to meet financial goals, according to SHRM.
The research also found 72 per cent of HR professionals and HR executives report that workers have higher expectations of employers today.
Job satisfaction correlates strongly with perceived organizational effectiveness. Among workers who believe their organization effectively addresses workplace needs, 91 per cent report job satisfaction, compared to 44 per cent among those who view their organization as ineffective.
Retention risks
Among workers who believe their organization is ineffective at addressing workplace needs, 51 per cent are at least somewhat likely to leave their employer within the next year, the research found.
“Our research shows investing in leadership and employee experience remains essential for organizational health,” said Jim Link, SHRM’s chief human resources officer. “By blending technology with the irreplaceable value of human connection, leaders create work environments ready to adapt, grow and thrive, regardless of what the future brings.”
AI and culture priorities
While 92 per cent of CHROs anticipate greater AI integration in workforce operations and 84 per cent expect upskilling in AI-specific skills to increase, the reports emphasized that technology must be viewed as an enabler rather than a replacement.
Beyond leadership development, 29 per cent of CHROs are prioritizing employee experience, with 31 per cent emphasizing workplace culture, an increase from 15 per cent in 2025.
The research also found transparency in leadership, managing multigenerational workforces, and reducing bias in AI hiring tools are expected to become more prevalent in 2026, with 40 per cent, 47 per cent and 57 per cent of CHROs respectively citing these trends.
The 2026 State of the Workplace report surveyed 1,856 HR professionals and 2,079 U.S.-based workers. The 2026 CHRO Priorities and Perspectives report surveyed 129 CHROs or senior-most HR professionals. SHRM is a professional association with nearly 340,000 members in 180 countries.
