News Spotlight

Performance reviews are used to conduct layoffs. Performance improvement plans, widely disliked by both employees and managers as a method of firing, are becoming increasingly common (Wall Street Journal).

Young workers aren’t attending your holiday party. Younger workers are moving away from traditional corporate holiday parties, favoring more meaningful, activity-based celebrations with less emphasis on alcohol (Axios).

Office surveillance continues to grow. Employers increasingly use data from networked corporate environments, including digital infrastructure and sensors, to gather insights, often involving tracking employees' personal data and behavior (The Register).

Stat of the Week

According to a recent study, 75% of early career workers believe AI will create new job opportunities in their field (compared to 58% of tenured workers), and 77% believe AI will help them move up in their careers (compared to 56% of tenured workers).

The survey findings suggest that early-career workers are more optimistic about the potential of AI to create new job opportunities and advance their careers compared to tenured workers. This generational gap reflects differing perspectives on AI's role, with younger employees viewing it as a tool for growth and innovation, while more experienced workers may harbor concerns about job displacement or adapting to new technologies. These attitudes imply that organizations should tailor AI-related training and support to bridge this gap, ensuring all employees can benefit from AI-driven advancements while addressing hesitations among seasoned staff.

Deep Dive Article

What the Trump Presidency Could Mean for the Workplace

As Donald J. Trump resumes the presidency in 2025, his leadership promises to bring significant changes to the workplace, shaped by his policies, priorities, and approach to governance. Businesses, employees, and labor advocates alike are gearing up to navigate a landscape influenced by Trump’s deregulatory agenda, tax strategies, labor policies, and focus on economic growth. While some industries may benefit from reduced restrictions and pro-business stances, others could face challenges tied to immigration policies, workplace protections, and shifting economic dynamics.

This week, I examine what the return of Trump to the White House could mean for the American workplace in 2025, exploring potential impacts on labor rights, workforce diversity, technological adaptation, and workplace culture.

Deregulation: A Double-Edged Sword

Trump's first presidency was characterized by aggressive deregulation, a trend likely to continue in 2025. Employers could see a rollback of workplace safety and environmental standards, easing operational burdens and reducing compliance costs. For example, regulations on sectors like manufacturing, construction, and energy might be further relaxed to encourage domestic production and economic growth.

While this could boost profitability for businesses, employees might face heightened safety risks or diminished protections in their work environments. For instance, relaxed OSHA standards could reduce employer obligations to maintain stringent workplace safety protocols. The challenge for policymakers and HR leaders will be balancing cost-efficiency with ensuring worker well-being in this pro-business climate.

Tax Policies and Workforce Investment

The potential revival of Trump’s tax strategies could have mixed effects on the workplace. During his previous term, corporate tax cuts were intended to stimulate economic growth and encourage businesses to reinvest in their operations, including workforce development. If similar measures are implemented in 2025, companies might leverage tax savings to enhance employee training programs, increase wages, or expand hiring. During 2025, Trump is looking for a larger $5 trillion tax cut, which includes a lower corporate tax rate, tax-free tips, overtime, and Social Security benefits.

However, critics argue that such benefits do not always trickle down to the workforce. The focus on corporate gains may lead to wealth concentration, with workers seeing little direct impact on their paychecks or job quality. The effectiveness of these tax policies in fostering equitable workplace improvements will depend on how businesses allocate their financial gains.

Labor Policies: Balancing Employer and Employee Needs

Trump’s labor policies historically favored employer flexibility over stringent protections for workers. In 2025, his administration might pursue similar policies, such as revising rules around union organizing and limiting the scope of the joint-employer standard, which affects contractor and franchisee relationships.

While these changes could reduce administrative burdens for employers, they may also weaken collective bargaining power and job security for workers. Additionally, the gig economy—already a contentious issue—might see further deregulation, potentially leaving gig workers without benefits or protections.

For workers, these shifts could create a challenging environment where job security and fair compensation become harder to secure. For employers, however, the flexibility could spur innovation and reduce costs, particularly in fast-moving industries like technology and logistics.

Immigration Policies and Workforce Dynamics

Trump’s hardline stance on immigration during his previous term significantly impacted industries reliant on immigrant labor, such as agriculture, hospitality, and construction. In 2025, similar policies could exacerbate labor shortages in these sectors, especially as they grapple with post-pandemic recovery and shifting workforce demographics.

In 2023, immigrants made up approximately 18.6% of the U.S. workforce, totaling 31 million workers. When immigrants face workplace discrimination or the threat of deportation, it negatively impacts not only them but also U.S.-born workers and citizens, undermining the overall well-being of the labor force.

Restrictive immigration policies might also influence diversity and inclusion efforts in the workplace. A reduced influx of international talent could limit organizations’ ability to hire highly skilled workers from abroad, potentially impacting innovation in sectors like technology and healthcare. Employers may need to redouble efforts to invest in local talent development to mitigate these challenges.

AI, Automation, and Workforce Adaptation

Trump’s administration is expected to prioritize economic competitiveness, likely accelerating the adoption of AI and automation in the workplace. To show his commitment, he named venture capitalist David Sacks as the White House AI czar. While these technologies offer significant efficiency gains, they also pose risks to job security, particularly in roles vulnerable to automation, such as manufacturing and administrative support. Furthermore, Trump is likely to repeal Biden's order to establish safety protocols for AI use in government and commerce. This would deregulate AI, which could increase use but simultaneously create trust and safety issues with workers.

To address these challenges, companies will need to focus on reskilling and upskilling their workforce. Federal incentives for vocational training and STEM education may play a critical role in equipping employees to thrive in a technology-driven economy. For HR leaders, managing the transition to a more automated workplace while maintaining employee engagement will be a key focus.

The Culture Wars and Workplace Inclusion

The Trump presidency has been synonymous with polarization, and this dynamic may influence workplace culture in 2025. Employers could face challenges in fostering inclusive environments amidst heightened political and social tensions.

Issues such as DEI programs may come under scrutiny, especially given Trump’s historical criticism of such initiatives. For businesses committed to advancing DEI, navigating potential regulatory changes and societal pushback will require careful strategy and clear communication. Some businesses, like Walmart, have preemptively rolled back their DEI programs in the wake of Trump’s election victory. Maintaining a focus on inclusivity will be crucial for attracting and retaining a diverse workforce, particularly among younger employees who prioritize workplace values.

Economic Uncertainty and Job Market Trends

Trump’s return to the presidency coincides with a period of economic complexity, including inflation concerns, supply chain disruptions, and evolving global trade dynamics. These factors could influence hiring trends, wage growth, and workforce stability in 2025.

A focus on domestic job creation and “America First” policies might benefit industries like manufacturing and energy but could create challenges for sectors reliant on international trade or labor. The broader job market may experience a mix of expansion and contraction, with outcomes varying by industry and geography.

The Long-Term Outlook

As Trump’s presidency shapes the workplace in 2025, the key to success for businesses and employees will lie in adaptability and resilience. Employers must balance the benefits of deregulation and economic growth with the need to prioritize employee well-being, equitable opportunities, and sustainable practices. Workers, in turn, will need to embrace lifelong learning and flexibility to thrive in an ever-evolving job market.

Ultimately, the Trump administration’s policies will create both opportunities and challenges, underscoring the importance of proactive leadership and collaboration between businesses, employees, and policymakers. By addressing these complexities with thoughtful strategies, the workplace can navigate this new era with confidence and purpose.

Thanks for reading — be sure to join the conversation on LinkedIn and let me know your thoughts on this topic!

Quote of the Week

“There will always be hurdles in life, but if you want to achieve a goal, you must continue.”
​Malala Yousafzai