Employee Experience | Employee Recognition and AI Could Be HR's Lifeline in this Budget Crunch

Written by Lynette Silva Heelan, Workhuman’s EMEA Consulting Practice Leader

With the double whammy of a rise in the national minimum and living wage in 2025, alongside an increase in employers’ national insurance and pension contributions, employers across the UK will be facing tighter budgets. At the same time, global events and economic uncertainty have added extra pressure on workers' wellbeing and stretched HR budgets even further.

As a result, HR leaders will need to do more with less. AI-powered HR tech solutions are becoming a lifeline, helping by automating routine tasks and using generative AI to boost creativity and productivity, ultimately saving costs. However, there are some limitations when it comes to using AI for more strategic HR goals.