How Work Will Change in 2025

What’s ahead for DEI, AI and RTO, according to Fast Company editors

In the last five years, we’ve seen so many pendulum swings in the workplace, from the Return to Office struggles, the Great Resignation, quiet quitting, quiet firing, layoffs, the rise and fall of DEI and the onset of artificial intelligence.

What does 2025 hold for the workplace?

We tuned in to Fast Company’s recent How Work Will Change webinar with Deputy Editor Katheen Davis and Senior Work Life Editor Julia Herbst. They explored how work will change due to the recent backlash over diversity, equity and inclusion, artificial intelligence’s impact on hiring and the return to office. Here are they key takeaways:

DEI Rebranded

The big headlines in recent months have been about the backlash against diversity equity and inclusion programs, and many companies, including Target, McDonalds and Meta, have scaled back or rebranded their initiatives due to political pressure and legal threats. Meta, for instance, said it eliminated its DEI team and it would change its approach to hiring. Investors have also pushed back against companies like Walmart, which eliminated its DEI initiatives. Costco has pushed back and defended its program. 

Much of that pressure comes from conservative activists and the Trump Administration, which has put federal employees with DEI roles on administrative leave, says Davis. 

Fast Company editors expect companies to reassess their DEI programs in 2025.

In some cases, that will look like companies eliminating them all together. Other companies will rebrand their programs to focus on belonging in general.  

The business case for diversity continues as companies that make an investment in diversity are more profitable and more innovative. In fact, companies that value diversity have a 6% higher stock price than those that don’t. Employees are more engaged when a company values diversity.

“I really wanted to underscore that diversity is good for business,” says Davis. 

AI’s Impact on Hiring

AI in hiring is not new, but it is on the rise, and this year, it’s poised for an explosion, says Davis.

Nearly 70% of companies will be using AI in their hiring process by the end of 2025, according to a recent survey by Resume Builder. About 82% said they already use it to screen resumes. At least 40% of employers are using AI to communicate with applicants and to evaluate tests given to candidates, and two-thirds are using AI to scan candidates’ social media profiles.

That reliance on AI can come with pitfalls. 

While it might seem harmless to use the tech to condense the tedious work of scanning text and summarizing content, keyword-based systems have been known to miss qualified candidates who don’t have resumes written in a precise way or may have non-traditional backgrounds. When it comes to using tech to evaluate tests or scan profiles, companies may miss the nuance that humans would find in doing those evaluations or reviews.

The most bias in hiring comes in the interview phase, and this is where AI will be used more often going forward.

While hiring managers may use AI to schedule interviews and draft questions, it can be problematic if AI actually conducts interviews. New interview software promises to assess a person’s personality by analyzing her voice and facial expressions but some experts say the science behind that tech is questionable. According to AI ethicist Dr. Kerry McInerney, it’s not possible to discern somebody’s personality from their face.

AI interview tools may also rank candidates higher for arbitrary and irrelevant factors, such as having a bookcase in the background. “Sometimes the way these tools get talked about in these hyper technical ways can make people feel like they can’t ask questions, or they’re scared of looking silly or ignorant if they ask them,” says Davis.

The Return to Office Debate

The return to office debate continues to rage on.

The latest? Some companies are implementing mandates in an attempt to “quiet fire” people, or force them to quit. Amazon announced its RTO mandate last year, and 68% of employees said they were likely to look for a new job within a year.  

It appears that the power has started to swing back to employers, following the era of Great Resignation and Quiet Quitting. Yet it’s too early to tell how this will play out in the coming months and years. It depends on the labor market and economy.

This trend has gained momentum, despite overwhelming data that shows most people want to work remotely part of the time and that people are more productive when they work from home. Survey after survey shows that employees value remote work higher than anything else, including salary, health insurance, promotions, and job opportunities.

Research by Nicholas Bloom, a Stanford economics professor who focuses on business management, found that hybrid working has no negative impact on business performance, and businesses can see 4% jumps in productivity when they let employees work from home at least some of the time. Employee satisfaction rises, and resignation rates drop.

“It’s a bell you can’t un-ring,” says Davis. “People realized what a game changer it is, and how they’re more productive, they’re happier, they have a better work life balance.”

The RTO mandates may result in a loss of the highest performers and the most in-demand workers. “I think that kind of approach really backfires,” says Davis.

Another survey found that 51% of employees would quit immediately over a non-negotiable return to office policy, while another 40% would start searching for remote jobs. That means that the vast majority of people will look for another job if they are told that they have to be in the office full time. That will include your top performers.

Most CEOs believe hybrid– rather than full-time RTO mandates– are here to stay. Smart employers are designing their offices to be inviting, collaborative and social spaces, creating events to bring people together, and creating cultures that focus on wellbeing and balance. This is key, because employees still report feeling burned out and unmotivated, and the number of people who want to find new jobs in 2025 is incredibly high. 

“Companies would be wise to be paying attention to those employee engagement numbers and why so many people are feeling frustrated,” says Davis. “Employers need to be thinking about these topics when trying to create a workplace that keeps people.”