Revenue in the HR Provision industry is anticipated to dip at a compound annual rate of 3.8% over the five years through 2024 to €21.2 billion. This drop is down to turbulent economic conditions that have slowed company spending across Europe and cut space in businesses’ budgets for HR services. Surging inflation throughout Europe over the past couple of years has seen businesses reduce their spending on outsourcing HR services, while demand from the public sector has suffered in the face of governments cutting their budgets. In 2024, some HR providers have found opportunities in helping companies negotiate cuts to their workforces due to economic slowdowns across many European countries. Revenue is expected to drop by 2.2% in 2024. Revenue is slated to swell at a compound annual rate of 4.1% over the five years through 2029 to €26 billion. Artificial intelligence has already started to transform HR services across Europe and this is only set to become more prominent in the future, with analytics enhancing how companies can strategise and conduct future workforce planning. HR professionals will be better able to use AI to sift through CVs quickly and use data to predict the potential of a candidate being successful in their role. Companies will be able to create personalised training programmes and establish work advancement pathways through outsourcing to HR services. Workplace regulations will continue to evolve across Europe as employees demand greater rights and protection, raising demand for HR services to keep companies consulted on law changes and ensure employee satisfaction.

Revenue in the HR Provision industry is anticipated to dip at a compound annual rate of 3.8% over the five years through 2024 to €21.2 billion. This drop is down to turbulent economic conditions that have slowed company spending across Europe and cut space in businesses’ budgets for HR services. Surging inflation throughout Europe over the past couple of years has seen businesses reduce their spending on outsourcing HR services, while demand from the public sector has suffered in the face of governments cutting their budgets. In 2024, some HR providers have found opportunities in helping companies negotiate cuts to their workforces due to economic slowdowns across many European countries. Revenue is expected to drop by 2.2% in 2024. Revenue is slated to swell at a compound annual rate of 4.1% over the five years through 2029 to €26 billion. Artificial intelligence has already started to transform HR services across Europe and this is only set to become more prominent in the future, with analytics enhancing how companies can strategise and conduct future workforce planning. HR professionals will be better able to use AI to sift through CVs quickly and use data to predict the potential of a candidate being successful in their role. Companies will be able to create personalised training programmes and establish work advancement pathways through outsourcing to HR services. Workplace regulations will continue to evolve across Europe as employees demand greater rights and protection, raising demand for HR services to keep companies consulted on law changes and ensure employee satisfaction.