Human Resources technology had estimated sales of $32.6 billion in 2021 and is projected to reach $76.5 billion by 2031.1 HR tech’s growing sophistication promises to revolutionize the efficiency and effectiveness of the HR function overall.

But there’s more to this revolution than efficiency: HR tech has the potential to enhance the employee experience, helping solidify recruiting and retention efforts while increasing productivity.

To make HR tech a true difference maker in recruiting, retention and productivity, companies need thoughtful implementation, training and positioning so that workers have a positive employee experience with HR tech — even before they’re on the job.

The change in HR tech that’s changing HR tech

Almost all organizations have basic HR tech, but supplemental add-ons have made the overall HR function far more digitized. Modules can now handle recruiting and application tracking, workforce management and succession planning.

HR tech has also pushed technology to the forefront of the employee experience: Employees are accessing technology to get answers instead of walking down the hall to ask HR.

However, creating quality employee experiences through HR tech means more than a set-it-and-forget-it approach. Employees need to understand the technology and how to engage with it. That creates change management challenges that many buyers of advanced HR tech may not initially realize.

Jumpstarting the employee experience with tech strategy

One issue organizations need to resolve is how does tech square with its culture, mission, values and employee value proposition.

The connection between technology and culture becomes clear when considering the amount of work done on cellphones, laptops, tablets and the countless apps employees use. The more engaged employees are with HR tech, the stronger the connection between an organization and its workforce.

For instance, job seekers should have a positive experience when applying for a job on a website. That experience needs to extend through the entire hiring process, which should be intuitive and fast. In this way, the tech experience helps illuminate organizational culture.

How HR tech can improve the employee experience

Even before a new employee starts, an onboarding process that’s easy to navigate will improve engagement.

Onboarding can be an exciting time for a new employee, and a tech experience that is seamless and enjoyable will leverage that excitement to help cement a strong bond with the new employee. Employers can message new hires with names and photos of teammates and managers, details about day-to-day tasks, and confirm payroll and benefits are set up before their first day on the job.

The technology is not the solution by itself, but instead opens the door to boosting productivity. Technology is a configurable tool that should fit within a broader employee engagement strategy that aligns with the mission, vision and values of the organization. Without that fit, the ROI decreases. But when it does happen, recruitment and retention improve, and a more productive, dedicated workforce emerges.

HUB's People & Technology HR experts can help you discover how to make HR tech improve recruiting, retention and the employee experience.


1 Allied Market Research, “Human Resource (HR) Technology Market Research, 2031,” accessed December 12, 2023.