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by Jen Leigh on February 1, 2025

HR Technology: How it Can Boost Employee Retention and Recruiting


Companies large and small are always interested in attracting and retaining top talent. At the same time, your workforce is always interested in other companies and positions that provide opportunities for growth and advancement. Studies show that replacing your company's talent could cost anywhere from half of the employee's annual salary to two times the salary. Depending on the employee's duties, you could also lose valuable client relationships and considerable functional company knowledge as well as decrease the morale of your remaining employees. It gets even worse when you consider the cost of a bad hire.

As such crucial pieces to the puzzle, it's necessary to do everything you can to keep your employees happy and loyal to your company. Fortunately, as technology continues to improve the modern workplace, companies now have more opportunities to retain top talent through HR IT advancements and using "small data" for recruiting.

Here is everything you need to know about using HR technology for recruitment and retention, one of the larger HR trends for 2025.

Staff Turnover: Why HR Technology Can Help

Staff turnover, commonly called "employee churn," is not a new phenomenon. Some of the churn is due to retirement or unavoidable circumstances. However, voluntary employee churn, when an employee leaves your company for a better offer, is an unnecessary company expense, especially for companies that still use manual processes to fill those positions. 

HR Solution Feature CTA VerticalThink of the countless hours your HR department spends on attrition. They are responsible for completing the departure paperwork for the exiting employee, including any unused leave, transferring retirement, and conducting exit interviews as a part of the 10-step offboarding process.

Once all of the former employee's loose ends are tied up, HR then needs to write an appropriate job description, advertise the position and spend countless more hours reviewing paper resumes selecting the handful of candidates who actually qualify for the job.

As such, a main driver of HR IT is finding, attracting, and retaining quality employees. Programs such as our cloud-based HR software employ AI to help automate your HR personnel save time and glean knowledge from former employees to prevent further avoidable departures.

Employee Retention with HR Technology 

One of the most compelling reasons for voluntary employee churn is that, once employees were hired, no one in the company seemed interested in them. If your company can't show that your employees and their opinions are important to you, why would your employees want to stay with your company?

HR IT provides you with countless ways to engage and retain your workforce. For example, you can enlist the same chatbot technology you use for customer service to measure employee satisfaction. A chatbot can ask a few pertinent questions about the employee's experience using various types of software, such as "Was it easier to file expenses online rather than manually?" and "How could the process be improved?"

Not only will your HR personnel receive a tremendous amount of information using this technique, but it is also immediately actionable information to reduce flight risk potential. Not every employee complaint carries the same weight, but AI can aggregate responses so that you know what pain points your employees experience and can keep them notified of your search for a solution. Making sure your employees' needs are communicated and met is a core strategy for retaining your top talent.

Attracting New Talent with HR Technology

Searching for new, top talent is always a priority for every growing business. However, searching for the right method to find top talent can be challenging; especially so with the many ways employers can reach out to candidates.

Using third-party job boards for attracting talent can work, but narrowing down which job boards to post positions on can be time-consuming. Additionally, time spent on creating job posts for each job board, reading candidate submissions, and communicating with candidates on separate platforms adds up.

Modern HR technology accelerates many of the manual recruiting processes by using automated techniques that help save time and maintain positive candidate communications. Some of the ways HR technology can benefit your recruiting efforts include:

  • Applicant tracking systems for both HR and candidates
  • Automated job postings
  • Candidate relationship management tools such as communication channels

Additionally, utilizing HR technology that seamlessly integrates popular job boards with your HR system will provide an excellent recruiting solution for your HR team.

Limit Compliance Risk When Recruiting 

When recruiting potential new hires, there are many compliance requirements that employers must complete during the onboarding and hiring process. These tasks can range from employment forms such as Form W-4 and Form I-9 or employee handbooks detailing company policies and relevant laws.

HR teams already manage mountains of sensitive paperwork, from timekeeping to payroll preparation. The additional paperwork needed to maintain compliance when recruiting new hires can overwhelm HR managers. However, by using HR technology, keeping up with the necessary compliance regulations can be achieved much more efficiently.

Employers can use HR technology to help with recruiting tasks such as:

  • Adhering to new hire reporting regulations
  • Conducting necessary compliance training programs
  • Completing required new hire forms
  • Administer and review employee handbooks and company policies

A robust HR IT platform can eliminate memorizing ever-changing regulations for your HR team so that they can focus on more meaningful work. Additionally, being able to streamline recruiting tasks on a unified HCM solution that has resources for compliance management can reduce any potential risks that may lead to costly violations. The proper technology can put the "human" back in human resources and save time on managing new hires.

Utilize HR Technology to Retain Your Workforce

Relying on manual processes for HR tasks can not only be time-consuming but can lead to critical mistakes that may cost your business. Leveraging HR Technology to attract and retain employees will save time, reduce costs, and help focus on creating quality employee experiences from new hires to your existing workforce.

To learn more about the benefits HR technology can provide for you, contact Inflection HR to see how we can help your company today.

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Jen Leigh

Jen Leigh is a Senior Product Specialist with Inflection HR's Cloud Based HR and Workforce Management Solutions. Connect with Jenni and the rest of the Inflection HR Team on Twitter, Facebook, or LinkedIn.