15 HR Best Practices to Adopt in 2025

Human resources is a foundational function of all organizations, yet HR transformation has fundamentally changed its core operations.

Many HR-related tasks—including employee onboarding, performance reviews, attendance tracking, benefits administration, and more—are now managed through cloud HCM systems. Workforce expectations have changed with the emergence of the digital workplace, the rise of hybrid work, the emphasis on DEI programs, and much more.

However, HR leaders are still tasked with managing people-related tasks and strategies. While HR has digitally evolved, best practices and policies can still guide HR departments to enable their people, increase business performance, and drive results within their workforce.

This article explores HR best practices, breaking down how HR transforms how organizations attract, develop, and retain their most valuable asset—people.

15 HR Best Practices to Adopt in 2025

1. Embracing hybrid and remote work models
2. Prioritizing employee well-being and mental health
3. Advancing diversity, equity, and inclusion (DEI)
4. Leveraging AI and automation in HR operations
5. Fostering continuous learning and development
6. HR transformation
7. Providing rewards and recognition
8. Providing 360 feedback
9. Developing a knowledge-sharing culture
10. Building transparency
11. Focussing on engagement and open communication
12. Updating the management and staff on compliance
13. Prioritizing workplace safety
14. Conducting selective recruitment
15. Creating and nurturing high-performance teams

HR Practices vs. HR Activities

The HR function includes two key areas: HR activities and HR practices. Both must work together to enable the HR department to operate efficiently within the organization.

However, it is possible to integrate the two without a clear understanding of both. Here are a few differences between HR practices and HR activities.

15 HR Best Practices to Adopt in 2025

Here is a list of the top 15 HR best practices you must focus on, showing how HR best practices are evolving to help HR leaders and organizations thrive.

1. Embracing hybrid and remote work models

The structured hybrid model has continued to gain prominence in the early phases of 2024, with roughly 37% of US companies now working off a structured hybrid model. In Robert Half’s Demand for Skilled Talent report, it was discovered that new, fully in-office job postings had declined by 14% in 2023 from Q1 to Q4. The report also found that the number of hybrid roles available on job boards in 2024 is double what was observed in 2023.

So what does this mean? The increasing prevalence of flexible work arrangements means that companies that do not offer flexibility risk falling behind in talent acquisition and retention. To attract and retain top employees, it’s no longer essential to consider offering hybrid or remote work options; it’s essential.

However, finding hybrid harmony in your workplace is a never-ending battle that requires adaptability and resilience. Here’s how the HR teams can work towards building a successful hybrid work model for their employees.

• Hybrid policies – Establish clear, well-communicated policies that outline who is eligible for hybrid work, how often employees are expected to be in the office, and how remote work will be managed. The policy must also address work-hours expectations, communication protocols, data security, and performance measurement.
• Technology and infrastructure – Work with IT to ensure employees can access necessary tools, such as video conferencing software, project management platforms, and secure cloud storage.
• Training leaders– Train managers to lead with empathy, focus on results rather than micromanagement, and ensure that performance metrics are transparent and fair.
• Flexibility – Promoting flexible work hours, encouraging regular breaks, and offering mental health support.
• Communication – Setting up regular team meetings using collaboration tools such as Slack, Microsoft Teams, or Zoom.
• Employee engagement – Creating initiatives such as virtual team-building activities, regular all-hands meetings, and celebrating successes.

2. Prioritizing employee well-being and mental health

Research conducted by EPSHR towards the end of 2023 revealed that supporting mental health and well-being remains a top priority for HR in 2024. Indeed, 26% of HR professionals identified it as the most crucial area for employee support this year.

Mental health is at the core of performance. If your employees aren’t feeling well in their mental and emotional bodies, they’ll never be able to perform at their best. By acknowledging individuals’ challenges and working collaboratively to promote mental well-being, HR teams can create a healthier, more resilient community and workplace.

Here are the key HR best practices to follow:

• Mental health programs – Establish and promote comprehensive mental health programs such as Employee Assistance Programs (EAPs), which offer confidential counseling services, mental health hotlines, and access to therapy sessions.
• Mental health awareness – Lead initiatives to raise awareness about mental health issues and reduce the stigma of seeking help.
• Regular check-ins – Encourage managers to have regular one-on-one check-ins with their team members to discuss well-being beyond work tasks. These check-ins allow employees to share their challenges and allow managers to offer support.
• Peer support groups – Employee resource groups focused on mental health can be a powerful way to provide support within the workforce. These groups offer a space for employees to share experiences, provide mutual support, and participate in mental health initiatives.

3. Advancing diversity, equity, and inclusion (DEI)

Advancing DEI is a critical HR practice. Organizations are moving beyond tokenism and focusing on creating genuinely inclusive workplaces where diversity is celebrated and everyone has equal opportunities. This involves implementing unbiased recruitment processes, offering DEI training programs, and fostering an environment where diverse perspectives are valued.

Supporting Diversity, Equity, and Inclusion (DEI) initiatives requires a strategic and ongoing commitment from HR to create a workplace that truly values and benefits from diverse perspectives. Here are a few HR best practices to follow.

• Unbiased recruitment and hiring – Implement standardized and structured hiring processes that focus on skills, experience, and cultural value rather than just cultural fit. This includes sourcing candidates from diverse talent pools, selecting diverse hiring panels, writing inclusive job descriptions, and removing identifying information from resumes during initial screening.
• Training and education – Implement regular training programs that educate employees at all levels about diversity, equity, and inclusion and how to incorporate these principles into daily interactions and decision-making.
• Employee Resource Groups (ERGs) – These are voluntary, employee-led groups that foster a diverse and inclusive workplace by supporting employees with shared characteristics or life experiences. HR must support their formation and growth by providing resources and funding.

4. Leveraging AI and automation in HR operations

AI and automation transform HR workflows by streamlining tasks, improving decision-making, and enhancing employee experiences. HR departments are increasingly using AI to automate repetitive tasks such as resume screening, scheduling interviews, and onboarding.

By leveraging AI, HR teams can focus more on strategic activities and provide employees a more efficient and personalized experience. Additionally, automation can help reduce human error and improve the consistency of HR processes.

Here are a few HR best practices to support AI and automation in HR processes.

• AI-powered recruitment tools – Integrate AI tools to streamline the recruitment process by automating resume screening, candidate matching, and interview scheduling. This reduces time-to-hire and minimizes human bias.
• Automated employee onboarding – Use automation to create personalized employee onboarding process that includes automated workflows for paperwork, training modules, and introductory meetings.
• AI for performance management – Leverage AI-driven analytics to track and assess employee performance in real-time. Automated systems can provide continuous feedback, identify skill gaps, and recommend personalized development plans, helping to enhance productivity and employee growth.

5. Fostering continuous learning and development

According to a LinkedIn workplace learning report, 7 in 10 workers say learning and development improves their connection to their organization.

Creating a learning culture within an organization is fundamental to fostering a sense of belonging and loyalty. When employees see that their growth is a priority, they are more likely to form emotional bonds with their workplace, reducing turnover rates and increasing overall job satisfaction.

To enable employee growth through learning and career development here are a few best practices to follow.

• Learning culture – Integrate learning into daily work, provide time for skill development, and recognize employees who actively pursue growth opportunities.
• Personalized learning paths – Offer employees customized employee development plans tailored to their career goals, skill levels, and job roles. This approach ensures that learning is relevant and engaging.
• Cross-training – Facilitate employee opportunities to learn from other departments through cross-training programs, job rotations, or collaborative projects.
• Leverage digital learning platforms – Adopt digital adoption platforms to enable learning in the flow of work via contextual in-app guidance. Whatfix DAP empowers subject matter experts to create in-app training content that overlays digital applications, like step-by-step walkthroughs, smart tips, and self-help knowledge bases – with an easy-to-use and highly customizable no-code content editor.

6. HR transformation

Cloud-based HR software is becoming a cornerstone of modern HR management. These platforms provide a centralized system for managing employee data, payroll, benefits, performance management, etc.

At the heart of HR technology stacks are HCM systems that automate and operationalize all basic HR tasks, such as payroll, attendance tracking, benefits, performance management, recruiting, and more.

Implementing cloud-based HCM software is a best practice as it enhances efficiency, data accuracy, and accessibility. Employees and managers can access HR services from anywhere, which is especially important in a remote or hybrid work environment. These systems also support analytics, allowing HR to make data-driven decisions and continuously improve processes.

However, just implementing the HR software won’t ensure its use to its full potential. Hence, the most important best practice for implementing HR software is to offer effective employee training for HR staff and end-users to ensure they understand how to use the new system effectively.

With a digital adoption platform (DAP), HR teams can enable employees with in-app guidance and on-demand support in the flow of work on their HCM systems. With Whatfix DAP, HR leaders and HCM application owners can create:

• Tours and Task Lists to accelerate time-to-proficiency for new users or when implementing a new HR technology.
• Flows to guide users through complex HR processes or infrequently done HCM tasks, like enrolling in yearly benefits of completing a performance review.
• Smart Tips to nudge users to take specific action or provide additional information at key friction points.
• Self Help provides employees an on-demand, in-app resource center that integrates with your knowledge repositories.
• Pop-Ups to alert employees of process changes, remind them of upcoming deadlines, communicate company news, and drive awareness of new training.

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7. Providing rewards and recognition

At its core, employee recognition is the open acknowledgment and appreciation expressed for an employee’s contributions to the organization. Rewards and recognition programs can impact many aspects of a business, including employee engagement, turnover, productivity, and morale.

Recognizing and rewarding employees for their contributions is a powerful way to boost morale, engagement, and retention. Here’s how HR teams can enable rewards and recognition programs in the organization.

• Tailor recognition to individuals – Customize rewards and recognition to match individual employee preferences through public acknowledgment, personalized gifts, or professional development opportunities.
• Real-time recognition – Encourage managers and peers to recognize achievements as they happen rather than waiting for formal reviews or end-of-year awards.
• Employee recognition software – Leverage employee recognition software to manage rewards, team member appreciation, and celebration initiatives.

8. Providing 360 feedback

360-degree feedback involves gathering feedback from an employee’s peers, subordinates, and supervisors and self-assessment. This comprehensive feedback mechanism provides a well-rounded view of an employee’s performance, strengths, and areas for development.

More companies are adopting 360 feedback as part of their performance management processes. It promotes transparency, encourages personal and professional growth, and helps build a culture of open communication. The feedback collected is used to create personalized development plans and improve team dynamics.

Here are some best practices to follow while collecting feedback.

• Anonymity and confidentiality – Maintain anonymity for those providing feedback to encourage honesty and reduce bias. Confidentiality builds trust, ensuring that feedback is candid and constructive.
• Constructive and balanced feedback – Encourage reviewers to provide balanced feedback highlighting strengths and improvement areas. This ensures that feedback is actionable and supports the employee’s development rather than just criticism.
• Integrate with development plans – Use the insights from 360 feedback to create or update individual development plans. This ensures that feedback leads to targeted growth opportunities and supports continuous improvement.

9. Developing a knowledge-sharing culture

A knowledge-sharing culture is vital for organizational learning and innovation. HR practices emphasize creating an environment where employees freely share information, skills, and experiences with their colleagues.

Sharing knowledge improves employees’ sense of belonging within the organization, improves teamwork, increases engagement, reduces support training costs and tickets, and enables the entire workforce to become experts in their field and their organization.

Here are some best practices HR teams can follow to encourage knowledge sharing within the organization.

• Open communication and collaboration – Create spaces (both physical and digital) where employees can easily share knowledge, ideas, and best practices. Tools like internal wikis, chat platforms, and collaborative project management software can help facilitate this.
• Training sessions – Organize regular training sessions, workshops, and lunch-and-learns where employees can share their knowledge and learn from each other.
• Mentorship and peer learning – Establish mentorship programs and peer learning groups where experienced employees can share their knowledge with others.

10. Building transparency

Your employees may not like or agree with a particular decision, but clueing them in on it will impact their attitude. Transparency is one of the essential HR best practices as it fosters trust, trust fosters security, and security fosters loyalty.

All employees should have access to business information to foster buy-in through inclusivity. Sharing business successes and failures with your employees makes them feel motivated and engaged with the organization.

Here are some tips you can follow to build transparency within your organization.

• Communication – Ensure regular and open communication from leadership to employees about company goals, decisions, and changes. This can be done through town hall meetings, newsletters, or internal communication platforms, helping employees stay informed and engaged.
• Provide access to information – Make key company data, such as performance metrics, financial results, and strategic plans, accessible to employees. This transparency helps employees understand the bigger picture and how their work contributes to the organization’s success.
• Encourage feedback – Create channels for employees to voice their opinions, ask questions, and provide feedback. Encourage managers to listen actively and respond transparently, fostering a culture where employees feel heard and valued.

11. Focussing on engagement and open communication

Employee engagement is directly linked to productivity and retention. HR teams must prioritize creating a culture of engagement through open communication, where employees feel heard and valued. Engaged employees are more likely to be committed to the organization’s goals and contribute to its success.

Here are some employee engagement ideas.

• Feedback rich environment – Encourage regular feedback loops between employees and management through surveys, one-on-one meetings, and open forums. This helps employees feel heard and valued, boosting engagement and enhancing communication.
• Effective, open communication – Create multiple communication channels for employees to connect with their team members and managers. Providing video conferencing tools, instant messaging platforms, and other apps to improve collaboration can make communication easier.
• Team-building activities—Hosting activities outside the workplace helps employees interact more personally, strengthening mutual trust and goodwill. Team-building activities foster a sense of community and belonging within the team, encouraging them to contribute in the workplace.

12. Updating the management and staff on compliance

Compliance with labor laws, industry regulations, and company policies is a critical responsibility of HR. Lack of compliance with local, national, and international labor legislation can destroy any HR practice.

Here are some best practices for keeping your workforce updated on compliance.

• Labor law expert – Having a labor law expert on board either as an employee or as a service provider helps check and approve all your HR policies, procedures, and contracts before implementation.
• ​​Compliance training – Familiarizing your employees with regulations and laws governing an organization or a particular job role is mandatory. These training initiatives help minimize risk, ensure workplace safety, and improve the overall work environment for employees.
• Compliance monitoring system – Establish a system to monitor and audit compliance practices across the organization regularly. This includes tracking policy adherence, conducting internal audits, and proactively addressing potential compliance issues to prevent legal risks and penalties.

13. Prioritizing workplace safety

Despite the numerous technological advancements, employees often sustain injuries in the workplace. Some of the most frequent injuries reported by employees include overexertion, falls, and burns, and, of course, no one ever sees them coming. Since they occasionally occur, safety measures are the only way to avoid such regrettable occurrences. The International Labour Organization estimates that around 340 million occupational accidents and 160 million illnesses are caused by work every year.

This makes workplace safety a top priority for HR teams, particularly in higher-risk industries. Here are some HR best practices to ensure workplace safety.

• Safety training – All employees should be trained tailored to their specific roles and potential hazards. This ensures everyone is aware of safety protocols, emergency procedures, and how to prevent accidents.
• Enforce safety policies – Develop clear safety policies that comply with regulations and industry standards, and ensure they are consistently enforced. Regularly review and update these policies to address new risks or regulation changes.
• Promote a safety-first culture – Encourage a culture where safety is a top priority by involving employees in safety committees, recognizing safe behavior, and encouraging reporting hazards or unsafe conditions without fear of reprisal.

14. Conducting selective hiring

Selective hiring enables organizations to attract employees who add value. It involves developing proactive hiring strategies to attract highly qualified candidates with specific skill sets.

Selective recruitment benefits organizations in terms of cost savings over time. Less time and money is wasted recruiting and interviewing candidates who aren’t the right fit for the position. Here’s how you can conduct selective hiring.

• Clear job descriptions – Develop precise job descriptions that outline the essential skills, experience, and cultural fit needed for the role. This clarity helps attract candidates who are genuinely aligned with the position and the company’s values.
• Data screening tools – Leverage data-driven screening tools and assessments to objectively evaluate candidates’ qualifications and fit for the role. This helps narrow down the candidate pool to those who meet the specific criteria, ensuring a more selective and effective hiring process.
• Involve multiple stakeholders—The recruitment process should Include input from multiple stakeholders, such as team members, managers, and HR. This collaborative approach ensures that the selected candidates are thoroughly vetted and are the best fit for both the role and the organization.

15. Creating and nurturing high-performance teams

High-performance teams are crucial for any company’s success. HR’s key responsibilities are creating and nurturing high-performance, effective teams. A highly effective team is innovative in problem-solving and known for displaying high communication and collaboration, delivering consistent and superior results.

Here are some best practices to create high-performance teams for your organization.

• Set clear goals – Establish clear, achievable goals and performance expectations for the team. Ensure that every team member understands their role, how their work contributes to the team’s objectives, and how success will be measured.
• Invest in continuous development – Provide learning and development opportunities tailored to individual and team needs. Encourage skill-building, cross-training, and leadership development to ensure the team continues to grow and adapt, maintaining high performance over time.

HR Transformation Clicks Better With Whatfix

A digital adoption platform like Whatfix supports your team throughout the HR technology adoption process and beyond. With a comprehensive adoption tool, enable your end-users with:

• Contextual in-app guidance to provide customized, relevant tips and help whenever it is most needed.

• On-demand support to assist end-users at critical moments of need.

• End-user analytics to discover new areas of HR business process opportunity, friction, and improvement.

To learn more about Whatfix, schedule a free demo with us today!