The Covid-19 pandemic thrust people leaders into the spotlight, elevating the Chief Human Resources Officer (CHRO) to a critical strategic role.

Five years on, the expectations placed on CHROs have only grown, requiring them to balance organisational culture, governance, workforce expectations, and the evolving role of technology in talent management.

In 2025, CHROs are closer than ever to their CEOs, acting as architects of workplace identity, resilience, performance, and engagement.

A Broader, More Strategic Role

The CHRO of today is not only a steward of human capital but also a key driver of business strategy. CEOs increasingly rely on their CHROs to define and communicate what the organisation stands for, shaping employer brand and company culture.

More than ever, employees and candidates scrutinise an employer’s purpose, ESG commitments, and workplace experience before making career decisions. This has led CHROs to take on greater responsibility for sustainability, governance, and the overall employee experience.

Over the past year, according to a survey of 500 HR decision-makers, the number of HR leaders integrating ESG policies into their daily operations has risen by 34%. The survey also notes a 62% surge in demand for benefits that prioritise sustainability and social responsibility.

Beyond the traditional people function, CHROs are now overseeing the “look and feel” of the business – curating environments that attract and retain talent while fostering collaboration. As more CEOs push for leaders to return to the office, people leaders must balance business needs with market expectations, ensuring that work environments are both productive and appealing.

The CEO-CHRO Relationship: Closer than Ever

The pandemic underscored the importance of people leadership, and over the past five years, CHROs have become firmly embedded in the executive decision-making process. Such is the strategic importance of HR, that 89% of CEOs now say HR should have a central role in the business.

Most notably, CHROs are tasked with reconciling the sometimes divergent needs of CEOs, who may advocate for in-office presence, with employee expectations for flexibility. This balancing act extends beyond physical work arrangements to broader workforce engagement strategies, ensuring that employees feel connected to the company’s mission and remain high-performing.

Moreover, as companies continue to navigate hybrid work models, CHROs are addressing how leaders can effectively connect with their teams. They are taking on transformation assignments and shaping the organisation’s ability to drive performance without a one-size-fits-all strategy.

The CHRO as a Crisis Leader

If the pandemic proved anything, it is that CHROs are now indispensable crisis leaders. Over the past five years, people leaders have had to manage uncertainty at an unprecedented scale – from global health emergencies to economic downturns and geopolitical instability.

As a result, crisis management and business resilience have become central features of the CHRO role. In 2025, CHROs are responsible for ensuring workforces are prepared for disruption while maintaining engagement and productivity.

Workforce agility has also become a critical priority. CHROs are now leading scenario planning exercises, developing rapid response strategies for economic shocks, talent shortages, and emerging risks. This requires deep collaboration with CFOs and COOs to balance workforce costs with long-term talent sustainability.

What’s more, employees expect transparency, reassurance, and clear leadership during periods of uncertainty. CHROs are responsible for shaping messaging that aligns with corporate values, ensuring that organisational culture remains intact even in the face of disruption.

The Role of AI and Technology in the People Function

Technology continues to reshape the people function, with AI playing an increasingly prominent role. From AI-driven scheduling tools to bots handling high-volume graduate recruitment, automation is streamlining administrative tasks, freeing up people leaders to focus on strategic initiatives.

AI is also enhancing workforce planning, allowing people leaders to assess skills gaps, optimise organisational structures, and future-proof talent strategies.

In the future, AI is expected to reduce the time employees spend on administrative tasks by 60% to 70%, fundamentally reshaping many roles. As a result, CHROs will be responsible for redefining these positions to align with AI integration and its evolving applications.

However, as automation reduces administrative burdens, CHROs in 2025 are faced with the human impact – ensuring employees still feel valued and heard in an increasingly digital people landscape. CHROs that effectively integrate AI while maintaining a strong people-first approach will gain a competitive advantage in talent retention and engagement.

ESG, Well-being, and the Future of Work

ESG remains firmly on the CHRO agenda, with an increasing focus on governance and workforce sustainability. Companies are being held accountable for their social and environmental impact, requiring people leaders to drive meaningful initiatives that align with corporate values and stakeholder expectations.

Simultaneously, employee well-being remains a priority, as companies recognise the link between mental health, engagement, and productivity. Looking ahead, CHROs will continue to play a pivotal role in shaping the future of work – balancing CEO priorities, workforce expectations, and technological advancements to create resilient, high-performing organisations.