The Future of Work in Professional Services: Trends & Insights for 2025

The world of work is evolving rapidly, with technology, automation and shifting workplace expectations driving change. As we move into 2025, companies that want to stay ahead must embrace these changes and understand the future of work in professional services. Businesses that fail to adapt risk falling behind. At the same time, Generation Z (Gen Z), the latest cohort to enter the workforce, is bringing fresh perspectives, expectations and demands that are further shaping change. As the largest segment of the global workforce by 2030, Gen Z’s preferences will influence recruitment strategies, particularly around digital engagement, flexibility and growth opportunities.

Rather than fearing technological advancements, the most agile organisations are using AI and automation in recruitment to enhance their capabilities. These technologies are freeing up time for more strategic, creative work, helping businesses thrive in a rapidly evolving market. The future of work isn’t about machines replacing humans, it’s about the synergy between human talent and technology. 

The Rise of Automation and AI in the Workforce

AI and automation in recruitment are transforming professional services. Routine administrative tasks are increasingly being handled by technology, allowing professionals to focus on higher-level tasks, such as strategic thinking and relationship building.

General Manager of NW Professional Services, Dee Bovingdon, shares, “AI is taking over the admin tasks, which gives our consultants more time to focus on the consultation piece of recruitment for our customers.”

This shift means recruiters can spend more time understanding business needs and getting to know candidates beyond their resumes to match them with roles that suit their skills and values. Rather than eliminating jobs, AI and automation are enabling businesses to operate more efficiently while maintaining the human touch that’s crucial in recruitment.

The Shift to a Blended Workforce

Beyond automation, the future of work in professional services is about balance. A blended workforce, where human expertise and technological innovation work together, is becoming the norm.

To thrive in this environment, businesses must address the skills gaps in professional services. The demand for new skills, including AI literacy, leadership and digital fluency, is growing. The Australian HR Institute reports that 58% of employers plan to invest in upskilling with AI skills and leadership training. Dee shares this sentiment and believes that companies that focus on continuous learning will be best positioned to succeed in 2025 and beyond: “It’s crucial that companies are investing in how to best use AI within their workforce, and in particular how people can use it in their specific roles for enhanced efficiencies, particularly around admin to free up time for more strategic work.” 

Skills gaps in professional services remain a challenge, with an estimated 16% of employees not fully proficient in their roles. This directly affects productivity and business outcomes. Interestingly, high turnover rates often correlate with significant skills gaps, as companies struggling to retain talent also face workforce proficiency issues.

Workforce Flexibility and the Hybrid Work Model

Flexibility in the workplace is no longer just a trend; it’s the new standard. The shift to hybrid and remote models accelerated by the COVID-19 pandemic is now expected to continue well into 2025. Employees now demand options like hybrid schedules or remote-first policies.

“Flexibility is so important for the next generation. It’s not just about remote or hybrid arrangements; they want adjusted work hours, not just the traditional nine-to-five,” says Dee.

Adapting to these new demands means leveraging digital tools to ensure collaboration and productivity while offering employees the flexibility they need to thrive. Businesses that don’t embrace these shifts may struggle to retain top talent in the competitive talent market. The rise of hybrid work trends in 2025 is likely to further reshape how we view professional environments, making flexibility a non-negotiable for top candidates.

Recruitment and Turnover Trends

Recruitment challenges are easing. In Q1 2025, only 30% of organisations reported difficulties in recruitment, down significantly from historical averages. This cooling of the labour market gives businesses some breathing room. However, turnover remains a persistent concern.

The overall employee turnover rate stands at 16%, with 34% of organisations facing turnover rates exceeding 20%. The primary reason for this turnover, cited by 26% of employers, is excessive workload. Employees are seeking work-life balance, and those businesses failing to address workload concerns will continue to see high attrition rates. 

Wage Growth and Retention

While moderate wage growth is projected for 2025, with salary increases expected to rise by 3% by January 2026, financial compensation alone will not be enough to retain employees. Issues like limited career growth opportunities and poor workplace relationships contribute heavily to turnover.

Organisations focused on developing career progression pathways, leadership opportunities, and mentorship programs are seeing improved retention rates. As Dee notes, “The younger workforce are moving on from roles a lot quicker. If something’s not ticking their boxes, they move. Businesses that are prioritising learning and development and flexible work arrangements are better placed for retaining talent.”

Migration and Inclusion

With skills gaps in professional services continuing to widen, 60% of employers are turning to overseas talent to fill the void, with public sector employers showing the highest reliance on international hires (81%).

However, workplace inclusion remains a significant challenge. A worrying 69% of employers exclude candidates from disadvantaged backgrounds, limiting diversity in the workplace. Companies looking to future-proof their workforce strategies must rethink their hiring practices to ensure they are inclusive, diverse and accessible to a broad range of candidates.

As Dee mentions, “We’re able to consult with the customers to see inside their business and better understand their needs. AI can’t replace that level of understanding of the culture and the fit for that role.” The human element in recruitment remains critical, even as technology continues to play an increasingly important role.

Building a Future-Ready Workforce

The greatest asset a company has is its people. Businesses that want to retain top talent must invest in a culture that prioritises ongoing learning, inclusivity and career development. By focusing on skills gaps in professional services, companies can ensure they are building the future-ready workforce needed to succeed in an ever-evolving market.

With AI and automation helping businesses work smarter and hybrid work driving flexibility, companies that keep people at the heart of their workforce strategies will be the most successful.

Preparing for the Future of Work

The future of work in professional services is exciting and full of potential. AI, automation and flexible work models are reshaping the industry, but the key to thriving in this new world is a people-first approach. Embrace technology, prioritise upskilling and create environments that promote flexibility and inclusion.

As Dee sums up, “It’s so important to interview and have that personal talk with candidates.” In the end, the future of work is not just about technology, it’s about maintaining human connection, adaptability and a commitment to continuous learning.

Partner with professional services recruitment experts to stay ahead of the curve.
In a shifting landscape where AI, hybrid work and evolving employee expectations are redefining the future of work, collaborating with a specialist recruitment partner can give your business a competitive edge. NW Professional Services understands the market, anticipates trends and connects you with top-tier talent who are ready to grow with your organisation. Whether you’re navigating skills gaps, planning for growth or reimagining your workforce strategy, we’re here to help you build a future-ready team.

Chat to the Professional Services team