What the Future of Employment Looks Like with Cloud & AI Technology

In 2025 you’re probably no stranger to the concept of Artificial Intelligence (AI), and how it’s advancing every industry—employment is no exception. While HR platforms have been utilising cloud technology for a while, AI technology is supercharging what HR and payroll software can do. We all know that businesses need to embrace AI to move forward and remain competitive, but how can this happen within HR and payroll?  Google Cloud’s Head of HR said, “There’s a huge opportunity for AI to lift HR up,” and it can also have real-world impacts in several ways. HR and payroll software need to become more advanced to stay ahead of the curve, and AI can help with that.  We’re exploring what the future of employment looks like—from hiring to onboarding and the entire employee lifecycle (not just HR & payroll)—with cloud and AI technology, as well as how it can help you stay on track with compliance.

The Cloud and AI Infrastructure Show

Before we fly into the content, we’d like to let you know that we’re attending this year’s Cloud and AI Infrastructure Show! Join our experts on the 12th and 13th of March at Excel London, as part of the Tech Show London to find out all about Employment Hero’s Employment Operating System (eOS) and how we can supercharge your HR capabilities with SmartMatch and Hero AI.

Come find us…

Find us on the day at stand CE065 or if you can’t make it, head over to our website to book a demo of our AI-powered HR software today.

How are cloud & AI technology transforming employment?

92% of businesses plan to invest in Generative AI over the next three years, but only 1% believe their investments have reached maturity. There’s a lot of room to grow when it comes to Cloud and AI Technology–some have said this has the potential to be as transformative as the steam engine was in the Industrial Revolution. And employment is no different.  The application of Cloud and AI Technology is no longer a futuristic concept, but is now actively reshaping how we work and manage talent. Utilising AI in our everyday lives enhances how we work, creating faster, smarter, and smoother processes.

The importance of compliance, AI & Cloud technology

Cloud and AI aren’t just about embracing the technologies of the future; they’re also about ensuring compliance. UK businesses are required to align their practices with UK compliance and employment law, but failing to embrace cloud solutions could significantly undermine compliance efforts in areas such as:

• Data security and privacy
• Regulatory updates
• Reporting and auditing
• Data accessibility and retention
• Remote work compliance

Without compliance, businesses could experience increased data losses, inefficiencies, and compliance failures. These failures can lead to financial penalties, increased legal costs, reputational damage, operational disruptions, business continuity risks, and internal impacts. Around 90% of UK businesses already admit to making payroll errors monthly, costing them on average around £150,000 per year. 

How can Cloud and AI reduce compliance risk?

HR compliance is a critical component of business practice, and Cloud and AI can help reduce compliance risk.

• Enhanced data security and privacy – Cloud-based platforms provide robust security infrastructure, including encryption, access controls and regular security updates.
• Automate compliance tasks – Automate compliance tasks – AI can help automate tasks like payroll processing, benefits administration, and record-keeping, reducing human error and ensuring accuracy. Cloud-based systems can also allow for automatic software updates to ensure any compliance changes are implemented quickly.
• Improved reporting and auditing – Generate detailed reports and real-time insights into HR data to facilitate any compliance audits. AI can also analyse a large amount of data to identify patterns and potential compliance violations.

Since the announcement of the UK government’s Cloud First policy, encouraging businesses to move to cloud-based options, many have taken the opportunity to get ahead with their business’s technology.  But is having a simple cloud-based HR system enough?

Employment Hero takes AI dreams and makes them reality

Guasa Group faced significant challenges in managing their HR and payroll processes. With disjointed systems and reliance on external accountants, inefficiencies, errors and unnecessary stress were the norm.  But even harder was keeping the team engaged and ensuring smooth operations in a high-turnover industry like hospitality, which proved to be a constant challenge. We spoke with Irua Dugarte, co-owner and HR manager, about the difference Employment Hero has made since they adopted our platform. Keeping the team engaged and reducing turnover has always been a challenge, especially in the fast-paced hospitality industry, with traditional methods of recognition falling short in motivating staff.  Employment Hero’s Employment OS introduced innovative tools like Hero Points, Hero AI and the EH Work app, transforming how employees interact with HR. With easy access to payslips, rotas and essential documents, employees felt more informed and appreciated. This boost in engagement and transparency helped reduce turnover and create a more positive workplace culture. “Hero AI helps us provide transparency to our employees. When I moved to the UK I also worked in hospitality and I didn’t know my rights – I didn’t know we had policies, I didn’t know my holiday allowance and it was really difficult. The majority of our workers are in the same position, so I wanted to eliminate all of the problems I faced, for them.” See how else we helped Guasa Group here.

The shifting needs of employment. Sorted with Employment Hero

Cloud and AI technology is shifting HR software towards a more intelligent, automated and data-driven way of working. Cloud platforms provide the infrastructure for storing and accessing HR data and applications, from anywhere at any time; while AI supercharges capabilities such as automating recruitment, personalised learning, intelligent performance analysis and predictive insights.  And Employment Hero is proud to lead the way.

Introducing Employment Operating System

We’re building the world’s first Employment Operating System (OS), powered by AI, to transform how businesses manage their employees. Why? Because AI is on the brink of reshaping SaaS, and we want to lead the way in creating a fully integrated system that addresses the entire employment lifecycle. This isn’t just about recruitment or compliance; it’s about connecting all the dots—data, security and smarter solutions—to help businesses and employees thrive.

Recruitment made smarter

SmartMatch is upending traditional recruitment. By integrating recruitment and HR, SmartMatch can identify when roles need to be filled, offering a predictive approach that revolutionises hiring. It cuts down hiring time from weeks to days by matching candidates purely on skills and experience, removing unnecessary steps like writing job descriptions or CVs. It’s a faster, smarter way to hire—and find your next job.

Onboarding automated

With our AI-powered platform, onboarding is streamlined and automated. All your onboarding materials—from policies to training documents—can be sent automatically. This saves HR teams valuable time and ensures compliance across the board. Plus, by automating these processes, HR professionals can focus on what truly matters: improving employee growth and wellbeing.

Compliance sorted

Compliance can be a headache, but we’ve made it easier. With our automated compliance system, all the necessary documents are sent to employees for signing, ensuring everything is completed on time. Employees also have access to Hero AI, our AI-powered chatbot, which allows them to ask questions about company policies—such as holiday entitlements or maternity leave. Hero AI scans all internal documents and provides accurate, instant responses. We’re already investing in your business’s future with Hero AI – our supercharged AI-powered personal HR assistant that fits in your pocket! Speak to our experts today about how Hero AI can help transform your business’s HR.

Integrated employment – The future of HR & Payroll

Employment Hero has taken the traditional isolated aspects of employment and integrated them into a seamless, human and AI-powered solution that empowers employers, employees and job seekers alike. We’re pushing the boundary of what employment looks like, setting new standards and innovating the ways of working for businesses and HR professionals. Why not see what our AI-powered Employment Operating System (OS) can do for your business today?