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AI May Be the Buzz, But Don’t Ignore Talent

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Developing employees is even more important in a down economy.

Developing employees is even more important in a down economy.

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Wed Dec 17 2025

A glowing blue robotic bee with intricate digital circuits, symbolizing artificial intelligence and technology on a white background.Adobe
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Small organizations and large companies alike are striving to address global economic volatility.

Small organizations and large companies alike are striving to address global economic volatility.

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Many have had to lay off staff or, at the least, refrain from hiring. For example, two-thirds of companies in a Careerminds study of US businesses have put a hold on hiring, according to “ Hiring on Hold, Skills on the Rise: HR’s 2025 Reset .” But still, business must go on.

Many have had to lay off staff or, at the least, refrain from hiring. For example, two-thirds of companies in a Careerminds study of US businesses have put a hold on hiring, according to “Hiring on Hold, Skills on the Rise: HR’s 2025 Reset.” But still, business must go on.

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It’s not just artificial-intelligence tools that leaders are turning to, though that is part of it and is a cause for some of the resulting changes in head count. Reskilling, upskilling, internal mobility, cross-training, and focusing on skills rather than jobs are all solutions that talent developers are using to get the necessary work done.

It’s not just artificial-intelligence tools that leaders are turning to, though that is part of it and is a cause for some of the resulting changes in head count. Reskilling, upskilling, internal mobility, cross-training, and focusing on skills rather than jobs are all solutions that talent developers are using to get the necessary work done.

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That has a benefit beyond providing employees with new skills. In her Workday blog, “ The Top 5 Human Resource Management Challenges for 2026 ,” Maria Valero writes, “Workday research found that internal hires were 80% more likely to be rated as top performers in new roles than external hires, further demonstrating the value of looking at your current workforce before turning to external candidates.”

That has a benefit beyond providing employees with new skills. In her Workday blog, “The Top 5 Human Resource Management Challenges for 2026,” Maria Valero writes, “Workday research found that internal hires were 80% more likely to be rated as top performers in new roles than external hires, further demonstrating the value of looking at your current workforce before turning to external candidates.”

Organizational agility

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The Academy to Innovate HR report, HR Priorities 2026 , cites opportunities in a world where too many organizations rely on outdated management practices and plan for the future based on jobs, which limits agility. According to the report, “Skills-based organizations are 63% more likely to achieve results than those without such practices.” Workers, too, feel their work would benefit from skills-based practices, the report adds.

The Academy to Innovate HR report, HR Priorities 2026, cites opportunities in a world where too many organizations rely on outdated management practices and plan for the future based on jobs, which limits agility. According to the report, “Skills-based organizations are 63% more likely to achieve results than those without such practices.” Workers, too, feel their work would benefit from skills-based practices, the report adds.

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Talent development teams can foster leadership training beyond the usual ranks by creating skills taxonomies, allowing staff to move between teams, and extending leadership beyond traditional management structures, advises HR Priorities .

Talent development teams can foster leadership training beyond the usual ranks by creating skills taxonomies, allowing staff to move between teams, and extending leadership beyond traditional management structures, advises HR Priorities.

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The Careerminds study finds that two-fifths of HR managers are upskilling workers to promote staff internally. The upskilling includes AI and other digital skills as well as leadership and people management skills.

The Careerminds study finds that two-fifths of HR managers are upskilling workers to promote staff internally. The upskilling includes AI and other digital skills as well as leadership and people management skills.

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It’s imperative that businesses find a way to thrive in today’s economy, even if they don’t bring on new talent. And while TD leaders may realize that fact, other members of the C-suite may not.

It’s imperative that businesses find a way to thrive in today’s economy, even if they don’t bring on new talent. And while TD leaders may realize that fact, other members of the C-suite may not.

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“ What’s Ahead for HR in 2026? Key Trends Every Business Leader Should Know ” CoAdvantage notes that recent research from Gartner found that 56 percent of CEOs identified growth as their top concern, but only 21 percent cited workforce priorities. "Employees are slipping down the executive agenda. Yet the contradiction is obvious: businesses cannot meet growth goals if they fail to cultivate the right talent and skills,” asserts CoAdvantage in the article.

What’s Ahead for HR in 2026? Key Trends Every Business Leader Should Know” CoAdvantage notes that recent research from Gartner found that 56 percent of CEOs identified growth as their top concern, but only 21 percent cited workforce priorities. "Employees are slipping down the executive agenda. Yet the contradiction is obvious: businesses cannot meet growth goals if they fail to cultivate the right talent and skills,” asserts CoAdvantage in the article.

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