9 workplace trends you need to know about

From four-day work weeks and return-to-office policies to embracing AI and skills over qualifications, these are the top workplace trends for 2025.

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Trends come and go, and what was once a feature of the workplace 10 (or even 5) years ago just doesn’t fly today. With the current economic turbulence, companies are facing a bumpy enough path and need to stay in the loop of evolving ideas, policies and practices  – whether they relate to organisational culture, hiring processes or new working practices – to ensure safe passage.

But just like keeping up with the latest fashion, it can be challenging to keep up to date with relevant changes when trying to run a successful business.

To help you out, we’ll explore the top workplace trends for 2024 to support your organisation’s agility and resilience in today’s working world.

1. The rise of the four day work week

A four-day work week might sound like a dream, but for some employees, this has become the reality. Several UK companies took part in the four-day week trial in 2022, where employees were granted 100% of their pay for working 80% of their normal hours. Since then, the desire for four-day weeks has grown significantly.

Research by Hays Recruitment reported that 51% of employees would consider moving to another organisation if offered a four-day work week. However, only 11% of companies surveyed have introduced or trialled a four-day work week, while 74% aren’t considering it at all.

Still, most companies that trialled the policy have made it permanent. According to a report by the thinktank Autonomy and researchers from the University of Cambridge, 51% have made the change, while 89% are still operating it.

Read more about the four-day work week here.

2. Return to office mandates

Return to office (RTO) mandates are also on the rise, with companies like ASOS, Dell and Barclays Bank reinforcing this policy among employees. The rule is simple – either return to the office or resign. 

2023 was named the “Year of the Great Office Return”, but this has continued into 2024. Research by Deskbird revealed that 90% of companies with office space intend to reinforce RTO mandates by the end of 2024, with the majority planning to track employees to ensure in-person attendance. 

But why are so many businesses keen to get staff back into the office?

A survey led by Resume Builder reported that 72% of companies noticed increased revenue when setting their RTO policies. However, this has led to work-life balance concerns among employees, with 43% worried about not being able to enjoy flexible hours, according to research by Flexjobs.

3. The desire for skill development

With the rise of artificial intelligence (AI), there is a strong need for upskilling and reskilling employees. Irrespective of your company culture type, this is something that the right employers should consider in 2024.

75% of workers believe that AI will impact their jobs in the future, according to research by KPMG. Meanwhile, 87% of employees believe they will need to develop new skills throughout their working lives to keep up with workplace changes.

But just 47% believe their company is making significant investments in their professional development, while less than 40% are happy with their organisation’s investment.

The UK government announced major investments to enhance skills in further technologies. Science Secretary Michelle Donelan unveiled plans to invest over £1.1 billion to upskill millions of individuals in the UK. As part of this investment, the University of Birmingham will establish a £4.5 million medicines manufacturing skills centre, which will provide specialised training and accelerator programmes. 

The UK also launched its Talent & Skills Connect platform, where organisations can access products and services designed to support the talent and skills pipeline.

4. AI leveraged by employers

AI’s population just keeps growing and with the gap in AI skills, employers plan to integrate AI tools for training, as well as talent acquisition and predictive analysis.

While only 30% of HR and TA leaders are leveraging AI, its adoption is predicted to spike in 2024, with 81% of companies planning to invest in AI to automate and enhance their recruiting process. Automation to reduce time on manual sourcing tasks was also named as the best benefit.

AI seems to be attractive among employees too, as around 68% of workers want their companies to adopt more AI technology, while 81% cite it as one of the main reasons for improved performance. A further 89% say it would improve half their workload. Other reasons include better decision-making and more creativity.

Research by Startups also found that 51% of companies are considering hiring AI experts to improve efficiency, data analysis and customer experience.

5. More sustainable working practices

As the UK’s climate continues to change, there’s a lot more awareness of sustainable living. Some organisations also have dedicated Environmental, Social and Governance (ESG) teams, in which more ethical processes and sustainable decision-making are incorporated into the workplace and work processes.

These practices include reducing carbon footprint, working with ethical suppliers, giving back to non-profit organisations and conserving energy where possible. UK-based companies including Linde, Mondi plc and InterContinental Hotels Group have made the list of the top 100 ESG companies.

It seems that the famous phrase “culture eats strategy for breakfast” rings true, as 69% of employees, particularly those aged 18-34, wish for their companies to invest in sustainability efforts, such as renewable energy usage and waste reduction. 27% also said they would factor an employer’s stance on sustainability into accepting a job offer, while almost a quarter (24%) considered changing jobs to a more sustainable company.

An excellent sustainable company culture example is the outdoor clothing specialists Patagonia, which encourages its employees to get involved with sustainability projects.

6. Skill-based hiring continues to dominate

It’s not about what you know, but what you can do.

That’s the general ideology when it comes to skill-based hiring. Instead of evaluating education or career progression, skill-based hiring involves evaluating potential candidates through their practical abilities.

Skill-based hiring was a hot topic in 2023, but the trend has continued into 2024, with 81% of companies using some form of it in their hiring process and HR experts warning that traditional hiring processes won’t be enough to address skill shortages.

For example, The Society for Human Resource Management (SHRM), emphasises “2024 is the year when organisations make skills-based hiring and internal talent mobility a reality for their workforce. It’s time to help eliminate bias from talent in terms of who should do what job and why. The way to do that is to ensure external hires aren’t prioritised over internal talent mobility and that hiring focuses on the skills people have.”

7. Structured hybrid takes the lead

Hybrid working patterns are no longer a company benefit, but the norm for many businesses and employees alike. Over 40% of workers say their employers have adopted a hybrid model since the COVID-19 pandemic, while just 30% of UK companies work fully on-site compared to 57% pre-pandemic.

A survey by CIPD also reported that respondents pointed to better work-life balance (69%), increased employee satisfaction (48%) and improved business flexibility and satisfaction  (41%) as the key benefits of hybrid working.

A structured hybrid model, where employers specify how much time employees are expected to spend in the office, has become a popular choice. 44% of UK employers adopted a structured hybrid model in 2024, with 38% requiring staff in the office 2-3 days a week. 

And it looks like hybrid models are here to stay, as 44% of businesses report that they don’t have any plans to change their current workplace model anytime soon.

8. New Diversity, equity and inclusion (DEI) investments

A much-cited company culture quote is Bill Gates’ “If your culture doesn’t like geeks, you’re in trouble.” Diversity, equity and inclusion (DEI) are often part of a company’s core values, and while this faced a significant decline in 2023, DEI priorities are on the radar for businesses in 2024.

According to research by Forrester, DEI investments declined to 27% in 2023 from 33% the previous year, and are predicted to decrease further to 20% at the end of 2024. 43% of leaders also feel unprepared to address the diverse needs of different generations, particularly with 73% of Millennial employees believing that their organisation is more innovative when it has a culture of inclusion.

But despite the bleak predictions, Agility PR reported that only 20% of companies plan to cut back or eliminate DEI initiatives in 2024, while 44% will ramp up existing DEI initiatives or develop new ones. A recent report by Sapio Research also suggests that DEI priorities are rising globally, with a 78% increase among 2,600 HR professionals and business leaders.

That said, it is hard to know how to change a company’s culture and embed DEI initiatives without expertise, so consider hiring a culture consultant, another growing workplace trend.

9. Prioritising employee wellbeing

Employee wellbeing has also emerged as a top priority for organisations.

The UK’s Burnout report 2024 revealed that 91% of employees experienced high levels of pressure or stress in the last year, leading to one in five workers (20%) needing to take time off work.

Research by Vitality UK also found that organisations could save the NHS £1.2 billion every year by taking greater responsibility for improving their employees’ health. CEO Neville Koopowitz also believes that businesses should be legally required to report on employee health for the benefit of both workers and business performance.

Fortunately, companies are acknowledging this need, with 45% of employers expecting more investment in 2024. Mental health takes the lead with 91% of company investment, followed by stress management (66%) and telemedicine (65%).

What’s on the way out?

It’s out with the old and in with the new. Here are workplace trends that are quickly going out of fashion.

  • Fixed 9-5 schedule: Nowadays, the traditional 9-5 just doesn’t work for everyone anymore. With more demand for flexible working patterns, the number of companies offering flexibility has increased by 45% in the last decade.
  • Formal dress codes: The days of wearing a suit and tie to work are long gone. Now, the most common work dress is “smart casual attire”, which is what 34% of employees wear to work.
  • Feedback through annual reviews: Annual reviews are becoming an outdated approach to feedback. After all, only 26% of workers believe them to be effective, while 68% who receive consistent feedback feel satisfied with their job’s alignment with company goals.

Conclusion

As the workplace continues to evolve, new approaches are developed to improve employee wellbeing, enhance learning or advance company performance.

Every company is different in how it adopts and implements these trends. While some are embracing four-day work weeks and structured hybrid models, others are opting for mandatory RTO policies, potentially risking work-life balance as a result.

Moreover, with the rise of AI, concerns over the environment and greater awareness of mental health, employees are calling for organisations to invest time and resources in developing workers’ skills, greater sustainability practices and further initiatives in DEI and employee wellbeing. 

As old and outdated practices inevitably phase out, these new workplace trends are expected to redefine how companies operate, as well as interact and engage with employees.

Written by:
With over 3 years expertise in Fintech, Emily has first hand experience of both startup culture and creating a diverse range of creative and technical content. As Startups Writer, her news articles and topical pieces cover the small business landscape and keep our SME audience up to date on everything they need to know.

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