In this article:

  1. Use AI to Address Burnout and Stress
  2. Embrace an Unpredictable Future
  3. Earn Your Place at the Board Table
  4. Give Your Team an 'On-the-job MBA'
  5. Prepare for a Five Generation Workforce
  6. Keep Humans at the Heart of Innovation
  7. Make Way for Digital Employees
  8. View Compliance as an Opportunity
  9. Stop High Performers Walking Out
  10. Lead with Trust During Constant Change
  11. Set Clear Boundaries for AI Use
  12. Keep Looking Forever Forward

The past 12 months have been full of exciting technology breakthroughs, important compliance changes and a significant shift in the way Australian HR leaders approach 'how work gets done'.

On one hand, we have a once-in-a-generation opportunity to architect the workforce of the future, and strike a true balance between the 'human' and 'resources' parts of our roles. On the other, we are exhausted from a pace of change that is unlikely to slow down anytime soon.

That's why I want to take moment to reflect on what I've learned this year and how I can take those lessons into 2026. In fact, they might well become my New Year's Resolutions.

1. Use AI to Address Burnout and Stress

Lifting productivity may be an imperative for every business leader, but we certainly can't do it without supporting the mental health and wellbeing of our people.

At Elevate Sydney, Georgie Harman, CEO at Beyond Blue, shared why reactive and rear-view employee surveys just won't cut it anymore. Instead, organisations need to proactively listen to employees and access real-time insights on employee sentiment, so they can notice early signs of physical, mental and emotional exhaustion, and intervene when people need support.

The insights: Can Agentic AI Lift National Productivity and Mental Health Outcomes in Australia?

The lesson: When technology handles the grunt work, we get to be the empathetic leaders our teams truly need.

2. Embrace an Unpredictable Future

HR leaders often find themselves under pressure to predict the next major shift in the workforce. But if history teaches us anything, it's that bold predictions can often miss the mark.

Instead of trying to predict what will happen next, HR leaders can use real-time insights to better understand the trends in their own organisation. For example, you might surface new skills that can be included on job profiles, quickly map existing skills to business goals, or identify future talent gaps before they become critical.

The insights: 3 Forward-Thinking HR Strategies to Future-Proof Your Workforce

The lesson: Forward-thinking organisations are organising their workforces around skills instead of job titles.

3. Earn Your Place at the Board Table

CHROs are being called on to shape strategy in executive leadership and board meetings, yet only 1% of board directors in Australia have a background in HR or change management.

If HR wants to be seen as a strategic player in the business, we need to have a seat at the board table. That means boosting our capabilities in three areas: getting a solid grip on finance and P&L, becoming fluent in data and technology to guide transformation, and honing human-centric skills like ethical decision-making and resolving tough conflicts.

The insights: Elevating HR Management: The Skills You Need for Influence and Impact

The lesson: By understanding the value you bring as a CHRO, you can usher in a new era where HR management is valued as the influential and impactful role that it is.

4. Give Your Team an 'On-the-job MBA'

The best retention and development strategy we saw this year was supporting employees through non-traditional, internal career moves.

At a time when over half (57%) of Australians have been in their current role for less than five years, Jenny McKie's career at Hungry Jack's is a testament to the power of internal mobility, which she says has given her a deep knowledge of all facets of the business. "It feels like I've done an on-the-job MBA," she says.

The insights: How a Non-Traditional Career Path Gave Hungry Jack's CHRO an 'On-the-Job MBA'

The lesson: To address talent shortages and skills gaps, people who have a deep understanding of the business are not just valuable — they're indispensable.

5. Prepare for a Five Generation Workforce

For the first time in history, organisations will soon employ five generations side-by-side – introducing a 60-year span of lived experience in the workplace.

This diversity can become a huge asset, but it requires new approaches. We need to set up two-way learning systems like reverse mentoring, and design employee experiences that are frictionless and 'AI-first', meeting the expectations of our youngest and most digitally native workers.

The insights: From Rotary Phones to Agentic AI: Is Your Workforce Ready for Gen Alpha?

The lesson: Let's rethink our old assumptions about loyalty, tenure and career progression, to create an employee value proposition that will translate into the next generation.

6. Keep Humans at the Heart of Innovation

A culture of true innovation isn't about buying the newest software; it's about putting the human experience first.

Ajay Pimpalshende, HR transformation leader at JLL Technology, shared his principles for fostering a culture of innovation. The takeaway? Technology is only as good as the human problem it solves. "Put value in your people, and people will bring value to your business," he states.

The insights: How JLL is Creating a Culture of Innovation with Humans at its Heart

The lesson: Investment in human capital is paramount in an AI-powered workplace, as people are the ultimate catalysts for adoption.

7. Make Way for Digital Employees

The CHRO-CIO relationship was closer than ever this year, as agentic AI moved from an 'IT tool' to a new kind of digital employee.

HR must partner with IT to create new rules for these 'workers' — new governance, risk and compliance (GRC) policies, new performance standards, and even new career pathways (such as the person who manages a team of AI agents, now known as the 'agent boss'). It's not just a technology shift, but a shift in the way we think about work.

The insights: Should CIOs Treat AI Agents as Apps or Digital Employees?

The lesson: As AI agents become more common, the importance of managing their interplay with the human workforce will become essential for HR leaders.

8. View Compliance as an Opportunity

Compliance changes like Payday Super can be a heavy lift for HR teams, but it's also an opportunity to take a fresh look at your team's scope, workflows and technology.

Rather than simply 'lifting and shifting' your existing software, it's a good time to step back and think about what you're trying to strategically achieve as a business, and how payroll can support those goals. Leverage the expertise you have in your team, and empower them as key stakeholders in this change.

The insights: How Payday Super Can Help You Build a Truly Strategic Payroll Function

The lesson: Think of compliance changes as an opportunity for a strategic reset, rather than an operational burden.

9. Stop High Performers Walking Out

Our research revealed a triple threat that HR leaders can't ignore: high performers are leaving, internal movement is stuck, and many employees don't trust their company's AI plans.

These challenges are symptoms of a broader breakdown in trust and alignment. If left unaddressed, they will limit your ability to retain talent, adapt to change, and sustain performance. To reverse this trend, it's important to focus on consistent, transparent communication, especially as AI reshapes roles and expectations.

The insights: New Research Signals a Talent Drain Hiding in Plain Sight

The lesson: High performers crave new challenges; they’re motivated by growth, not just promotions.

10. Lead with Trust During Constant Change

Change rarely announces itself. Instead, it arrives when you least expect it, demanding adaptation, evolution, and a complete rethinking of established practices.

For CHROs, leading through the AI revolution requires strong values and absolute transparency. We must explain how efficiencies gained will be reinvested back into the workforce — through new skills, development, and growth opportunities—rather than just being used for budget cuts. This is the only way to build the trust needed for genuine AI adoption.

The insights: Workday CEO and Chief People Officer on Leading Through Disruption

The lesson: Big transformations are scary. But as leaders, we have an opportunity to activate a mindset of embracing change and being open to the opportunity.

11. Set Clear Boundaries for AI Use

It sounds counterintuitive, but the secret to getting people excited about AI is setting clear boundaries.

Our research found that teams are optimistic about AI when they see AI as a helpful partner, but their confidence plummets if they feel it’s going to act as an unmonitored boss. HR must ensure that AI usage is transparent, controllable, and always supports human judgment, especially for sensitive decisions. It's about empowering people to determine where and how AI agents can best serve their needs.

The insights: The Secret to AI Optimism and Adoption Is Setting Boundaries

The lesson: People are much more confident about AI agents when roles are clearly defined and guidelines are set.

12. Keep Looking Forever Forward

The big challenges ahead—talent scarcity, complex regulations, and tech adaptation—all point to one thing: HR must operate with strategic foresight.

HR can no longer be a reactive support function. We need to be using people data to run scenarios and forecast future workforce needs, ensuring our talent strategy is fully aligned with the company’s long-term business goals. By giving our team the tools to keep looking into the future, we'll be equipped to create a workplace where people and performance thrive.

The insights: The Top 5 Human Resource Management Challenges for 2026

The lesson: With the right mix of strategy, technology and foresight, HR leaders can turn obstacles into advantages that position their companies for long-term success.

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