What steps will leading employers take in 2026?

The employer–employee relationship is undergoing a structural shift, and there is no sign of the pace of workplace transformation slowing any time soon.

In 2024, nearly two thirds of workers (opens a new window) reported an increase in both the extent and pace of change at work compared to the previous year. Therefore, continued and constant adaptation is now expected, driven largely by AI and digital adoption and economic uncertainty.

To keep pace with these changes, organisations are moving from ‘adding more’ to ensuring their programmes, and spend, contain optimum clarity, authenticity, and alignment.

What changes should be on your radar?

Salary, work-life balance, and job security remain universal priorities, but cultural, growth, career and skills strategy, and regional tailoring will matter more as organisations seek scalable, yet locally relevant solutions. Therefore, HR leaders are having to balance a mix of short and medium-term actions in their plans for 2026.

In Ireland, shorter term agenda items that need to be addressed in the next year include auto-enrolment, managing increasing health insurance costs, the Department of Social Welfare’s planned minimum pension contribution for occupational schemes, and the approaching EU Pay Transparency Directive. However, beyond acknowledging imminent changes, it is important business leaders also adopt a longer-term approach for more strategic efforts.

The eight actions employers are taking for 2026

Throughout our work in 2025, and from conversations with clients at our annual global benefit forums around the world, we have been asking organisations two questions:

  • What do you see changing in the world of work over the next 3-5 years?

  • What will this mean for how employers attract and retain both current and future talent?

The majority of organisations reported experiencing the biggest changes to work and working life in their lifetimes over the past 5 years. Additionally, they do not expect this to slow and are anticipating even more significant change over the next five years. From our discussions, we have summarised feedback into the following eight actions that employers will take to keep their business adaptive and resilient in 2026:

  1. Create a clear and authentic Employer Value Proposition (EVP)

    Simplicity and trust will dominate much needed EVP refreshes as business seek to re-engage employees on the business changes ahead. Organisations will prioritise clear, connected narratives over complex benefit stacks — defining who the organisation is, what it offers for the future, and what’s expected in return. Refreshing the corporate EVP is not just about optimising cost and impact – it is also about strategically aligning employer and employee expectations for a clearer and connected future of work.

  2. Embed flexibility as a strategic imperative

    Flexibility will evolve from ‘policy necessity’ to cultural priority. Structured flexibility frameworks that balance fairness, sustainability, and blended workforce models (contractors, fractional workers), will become widely adopted. However, new workforce planning requires disciplined execution to successfully serve employee needs, talent market realities, and sustainable business performance.

  3. Deliver guided personalisation

    Guided choice within defined parameters aligned to organisations will replace unlimited customisation. Predictive AI and life-stage portfolios will enable structured options, without losing organisational identity – as opposed to more radical personalisation.

  4. Position career development as a benefit

    Growth and learning opportunities will become a primary retention lever. Internal mobility, project-based work, and skills development will be positioned as core benefits, not optional extras. Combining multiple worker types under unified frameworks can also offer a more flexible blueprint for future growth. Many clients stated that future-proofing skills development is becoming the most valued form of benefit.

  5. Prioritise execution excellence over programme expansion

    A recurring message from clients was that executing the basics brilliantly was critically important. As organisations shift focus from adding programmes to delivery discipline, alignment, measurement, and simplification will be the new maturity markers.

  6. Focus on preventive health and everyday wellbeing

    Health strategies will move toward early intervention and embedded support, leveraging technology for proactive care rather than reactive fixes. Practical systems, with personalisation and prevention as key aspects, will ingrain support into culture, rather than treating it as a reactive add-on.

  7. Integrate communication and tech-enabled navigation

    Visibility, not volume, is emerging as the new measure of success, with the biggest gaps remaining in understanding, not investment. Expect multi-channel, consumer-grade platforms and AI-driven navigation to dominate benefit communication strategies that optimise employee engagement.

  8. Centre governance and compliance into strategy
    Promoting governance and compliance is important to ensure growth is both sustainable and structured. For Irish businesses, it is crucial that implementation of autoenrollment, pay transparency, minimum pension contribution for occupational schemes, and AI governance rules are all well considered and strategized in advance. Furthermore, the Health Insurance Authority recently announced (opens a new window) the levy on health insurance policies will rise by 10% in April 2026, adding extra complexities for businesses ensuring they’re providing compliant and comprehensive programmes to their employees.

With 2026 fast approaching, employers can take steps now to reset the employee employer relationship and dialogue to ensure a longer-term view is also being considered alongside short term and annual horizons. Taking the right steps now can help improve employee engagement and keep your proposition both cost-effective and future-proofed.

To find out how we can support your business forge a strategy for next year, visit our People Solutions page (opens a new window) or contact your Lockton consultant.