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Labor + Economics

The year ahead - Why AI in HR still needs the human touch

Helen Armstrong

January 6, 2026

Labor + Economics

The year ahead - Why AI in HR still needs the human touch

Helen Armstrong

January 6, 2026

Photo by Zulfugar Karimov on Unsplash

AI has been a big subject in 2025. It fits into our everyday lives now, winning the race against the google search, answering all our everyday questions from interior colour choices to finding the best holiday spots. Importantly for us in the HR sector though, it’s reshaping how our teams work.

From talent acquisition to payroll automation, it can process vast amounts of data in seconds, benchmark system features and produce insights that once took weeks to compile. It is fast, powerful and increasingly indispensable. But the truth is AI alone can’t make great decisions for your people, and it certainly can’t replace the judgement of experienced HR professionals.

The future of HR lies where technology accelerates the work, and humans give it meaning.

The Limits of AI in HR System Selection

When it comes to selecting a new HR or payroll system, AI can do some of the heavy lifting. It can analyse vendors, map features against requirements and speed up early comparisons. HR professionals know people though, and only they can understand your organisation’s culture, the nuances in your operating model, and the subtle frustrations that shape how your people work. They can sense human emotions that come from changing systems and operations and feel the impact across the workforce. These gut feelings and emotional readings are essential across HR teams and are some of the many reasons why HR technology selection processes and upgrades must be human-led.

A Sweet-Spot Partnership

AI is at its most powerful when it supports experienced consultants, not replaces them. Think of it as an exceptionally capable assistant, pulling data together quickly, identifying patterns, summarising complexities so that consultants can move rapidly in fixing these issues.

Read the full article here:

The future of HR lies where technology accelerates the work, and humans give it meaning.
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