It looks like the world of human resources (HR) is getting a big upgrade.

The global HR technology market is set to grow from about US$36 billion in 2024 to US$69.6 billion by 2033 (a CAGR of 7.6%). That’s a huge leap, and it tells us that the future of human resources in 2033 is closer than we think.

Let’s talk about why and how this growth is happening.

What’s driving the growth of AI in HR market growth

Firms are looking for smarter ways to hire, manage and keep people. Here are three big reasons:

• Efficiency and automation: Traditional HR tasks like screening resumes, managing payroll, and handling timesheets take a lot of time. Injecting automation and AI-driven talent management tools make these tasks faster, cheaper and less error-prone. The HR technology market size report mentions how automation and artificial intelligence are used to simplify tasks like resume evaluation, payroll, and onboarding.
• Talent management becomes key: Companies know that their people are one of the biggest assets. Many are shifting toward platforms that help with recruiting, training, performance management and retention. According to the segmentation, talent management was the largest application in 2024.
• New ways of working: Remote and hybrid work arrangements mean that HR needs to support people who are spread out or working differently. Tools that can track performance, help communication, and manage schedules across locations become very valuable.

Because of these, HR automation benefits are becoming clearer to organisations. A market as large as US$69.6 billion by 2033 shows how serious this shift is.

Suggested read: Human Resource Job Scope – Explore HR Careers with AI CERTs

What does this mean for HR teams and professionals?

For HR teams:

• They will have tools that reduce repetitive manual work.
• They can spend more time being strategic: thinking about culture, employee growth, and skills rather than just admin.
• They will need to learn how to work with AI-driven systems: guided hiring and predictive analytics that tell you which employees might leave and what skills you need.

For HR professionals or those hoping to enter the HR domain:

• Your role will shift, and you’ll work alongside advanced tools, so you’ll need skills to interpret data, influence decisions, and design people strategies.
• That means the future of human resources in 2033 will expect HR pros who know about AI in HR market growth and HR automation benefits.
• Upskilling is key: learning about AI-driven talent management will open new opportunities, even in traditional HR paths.

Suggested read: Transforming HR with AI: Trends, Tools and Certifications

Real changes that companies are already doing

To make the future of human resources real, companies are adopting changes now:

• Use of AI to scan and rank applications so recruiters spend time on best fits.
• Tools that monitor employee engagement and prompt managers when action is needed.
• Payroll and benefits systems that auto-process and follow compliance across locations.
• Workforce management tools that schedule shifts, track remote/hybrid work, and forecast staffing needs.

Because of these, the HR technology market size is growing; there is strong demand across industries. One report shows that North America held nearly 59.9% share in 2024 of this market.

Suggested read: Winning with AI – Indosat Ooredoo Hutchison and the Evolution of HR

Why joining the club of US$69.6 B matters

When we say the market will hit ~US$69.6 billion by 2033, we mean more than just big numbers. It means:

• Companies are treating HR technology as a strategic investment, not just a cost centre.
• HR becomes central to how companies compete: attracting talent, keeping people engaged, and working smarter.
• The term “AI in HR market growth” captures the fact that human resources is changing shape — more data, more tech, more insight.
• HR professionals who adapt will find a path to leadership, because the tools extend their potential.

Suggested read: Global Human Capital Trends and the Rise of AI in HR Management

What you can do if you are an organisation or individual

If you are part of an organisation:

• Consider how AI-driven talent management tools could help your HR team.
• Think about what HR automation benefits you need: faster hiring, lower turnover, and better engagement.
• Plan for the future of human resources in 2033: not incremental change but a transformation of HR operations.

If you are an individual or HR professional:

• Learn about the shift: what AI in HR means, what tools are emerging, and what HR automation benefits result.
• Look for certifications that help you understand HR tech, data analytics in HR and AI-enabled HR workflows.
• Embrace change: the HR technology market size says this will be a dominant theme for the next years.

Suggested read: AI HR Certification – Boost Your HR Skills Today

Because the market is growing and the tools are becoming smarter, both organisations and individuals have a chance to shape this change. When HR teams adopt AI in the right way, they help the business and the people. When HR professionals gain new skills, they set themselves up for roles that were unimaginable just a few years ago.

So, here’s the final word:  the US$ 69.6 billion figure is a forecast that calls for action. Organisations that ignore this shift risk getting behind. Individuals who prepare now will lead the future of human resources.

If you’re looking to get ahead, consider pursuing an AI Human Resources certification from AI CERTs. It gives you the skills to work in this exciting space where HR meets AI.

Download the Program Guide

Prepare yourself for the future of HR and become an agent of change, not a bystander. Enroll Today!

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