The world invests in the future of work: 2025’s top HR tech funding

The year 2025 has turned into a pivotal moment for the HR tech industry, with startups across the globe attracting major investor attention. From improving mental health and people analytics to streamlining workforce operations and leveraging AI for better hiring, these ventures are not only transforming how organisations manage people but also reimagining the very future of work. 

Here's a deep dive into some of the biggest HR tech funding stories that are shaping the global workplace landscape in 2025.

The biggest HR tech funding of 2025

1. Darwinbox 

Location: India
Funding Amount: $140 million

One of the most notable fundraises of the year, India’s Darwinbox secured a staggering $140 million in a funding round led by global investment giants Partners Group and KKR. Darwinbox’s HR tech suite offers end-to-end workforce management solutions tailored for modern enterprises.

This funding aims to bolster its product innovation and global expansion, particularly across the US, Southeast Asia, and the Middle East. The startup is already used by over 850 enterprises, including leading names like Adani, Mahindra, and Tokopedia. Darwinbox’s AI-first strategy, aimed at automating HR processes and enhancing employee experience, is a key differentiator.

Darwinbox also plans to launch new modules that integrate learning, performance management, and employee wellness into a single intelligent dashboard. The platform’s multi-language capabilities and local compliance features make it suitable for enterprises operating in diverse geographies. The fresh capital will also be invested in strategic partnerships and customer success initiatives to ensure sustained client engagement and retention.

2. SmartSuite 

Location: USA
Funding Amount: $38 million

SmartSuite, known for its integrated work management platform, raised $38 million this year to further streamline organisational processes and team collaboration. By bridging project management with HR operations, SmartSuite is positioning itself as a unified system for modern, remote-first enterprises.

The funding will be used to enhance product capabilities, develop integrations, and boost its global go-to-market strategy. SmartSuite’s appeal lies in its modular approach, letting businesses tailor their workflows without extensive custom development.

Its future roadmap includes AI-powered performance tracking, advanced workforce scheduling, and industry-specific solutions for sectors like education, healthcare, and retail. SmartSuite’s focus on user experience and custom workflow templates has made it a popular choice among HR leaders aiming to improve operational agility.

3. Zelt
Funding Amount: €5.7 million

Zelt, a London-based startup, is tackling one of the most persistent pain points in HR: fragmented operations. With its €5.7 million raise, Zelt aims to unify tools like payroll, onboarding, device provisioning, and benefits into one seamless platform.

Zelt’s pitch is compelling for startups and mid-sized firms overwhelmed by juggling various HR tools. The fresh funds will go towards product development and building out its engineering and sales teams.

The company is also investing in data security, GDPR compliance, and integrations with popular productivity tools. By consolidating HR operations into a single ecosystem, Zelt helps companies save costs and gain insights that drive employee retention and satisfaction.

4. SeamlessHR

Location: Nigeria
Funding Amount: $9 million

Nigeria’s SeamlessHR is leading Africa’s HR tech evolution. With a $9 million round this year, the startup aims to solidify its presence across the continent, expand into new markets, and invest in product features that cater to African business needs.

The platform offers a robust HR software suite, including payroll, performance management, and HR analytics. Its localisation features for compliance and language set it apart in emerging markets.

SeamlessHR is also expanding into Francophone Africa and plans to roll out a mobile-first platform designed for gig and informal sector workers. With investors increasingly looking toward Africa’s tech ecosystem, SeamlessHR’s strong regional expertise is drawing attention.

5. Firstwork 

Location: USA
Funding Amount: $5 million

Firstwork targets a traditionally underserved workforce: shift-based and hourly employees. With $5 million in new funding, it plans to enhance its job-matching and workforce optimisation algorithms.

Its tools allow businesses to reduce turnover, improve hiring efficiency, and better engage their non-desk workforce. The investment will accelerate Firstwork’s market reach across retail, hospitality, and healthcare sectors.

The startup is also exploring AI-enabled scheduling tools and communication platforms tailored for frontline workers, ensuring that these employees receive the same digital enablement and engagement as their desk-bound counterparts.

6. Betterteem 

Location: Philippines
Funding Amount: Undisclosed

Betterteem, a Philippines-based HR tech startup, focuses on employee engagement and mental wellness. It raised fresh funds this year to expand its platform’s reach across Southeast Asia.

The platform offers culture diagnostics, wellness tracking, and retention insights—all aimed at helping companies measure and enhance employee experience. As mental health becomes a boardroom priority, Betterteem is tapping into this vital trend.

Betterteem is also partnering with educational institutions and NGOs to raise awareness around workplace well-being and build tools that address burnout, absenteeism, and workforce disengagement.

7. GreenHRMS 

Location: India
Funding Amount: $200,000

With a modest but strategic seed round, GreenHRMS is creating custom HR tools for small and medium enterprises. It’s focusing on ease of use, affordability, and customisation—areas often overlooked by large HR suites.

The funds will go towards product development, expanding its customer support capabilities, and launching a mobile-first experience for its users.

GreenHRMS is also developing industry-specific versions of its tools for sectors like manufacturing, retail, and logistics, where time tracking and compliance features are crucial.

8. peopleIX 

Location: Germany
Funding Amount: €2.3 million

peopleIX is revolutionising how businesses use data to drive workforce decisions. With €2.3 million in pre-seed funding, the Berlin-based startup aims to deepen its analytics engine and bring predictive insights to HR teams.

Its platform helps decode attrition risks, engagement scores, and workforce planning scenarios, offering business leaders actionable intelligence rooted in real-time data.

The company plans to invest in machine learning and natural language processing to provide deeper, conversational analytics for HR leaders, making it easier to extract insights from complex datasets.

9. Qneiform 

Location: Hungary
Funding Amount: €3 million

Qneiform, a Hungarian HR tech startup, is changing the way companies evaluate candidates. With €3 million in funding, the startup will build advanced psychometric and behavioural analysis tools to refine hiring decisions.

Its platform uses AI-driven simulations and assessments, giving recruiters deeper insights into candidate potential beyond resumes and interviews.

Qneiform is also partnering with universities and research institutes to validate its assessment models and ensure inclusivity, reducing bias in talent acquisition.

10. Jobizo 

Location: India
Funding Amount: $1.4 million

Jobizo is a healthcare-specific HR tech firm simplifying locum and full-time staffing. With $1.4 million in funding, the platform will enhance its AI-matching engine to pair hospitals with the right talent at the right time.

Given the acute staffing gaps in healthcare, Jobizo’s solution is crucial in helping providers ensure quality care and efficient operations.

The company also plans to develop training modules, credential verification features, and compliance tracking tailored for healthcare professionals.

11. Sakura 

Location: Sweden
Funding Stage: Pre-seed

Sweden-based Sakura is focused on embedding mental wellness into workplace productivity. Its B2B platform connects organisations with therapeutic tools, digital therapists, and self-guided wellness programmes.

With early-stage funding secured, Sakura plans to expand its tech capabilities, form strategic health partnerships, and refine its B2B go-to-market strategy.

Sakura is also integrating sentiment analysis and wellness scoring into its platform to help HR teams proactively support employee well-being.

12. British Duo 

Location: UK (British-Sri Lankan Founders)
Funding Amount: £7.5 million

Two entrepreneurs of Sri Lankan origin based in the UK are making waves with their AI-powered HRtech startup. With a focus on automated HR workflows, intelligent recruitment, and predictive workforce analytics, their venture secured £7.5 million in a significant funding round.

They aim to replace outdated legacy systems with intuitive, AI-first platforms designed for modern enterprises.

The startup is currently developing an open API platform that allows businesses to plug in third-party tools for seamless automation while preserving data integrity and user privacy.

13. Phenom 

Location: USA (with presence in India)
Deal Type: Acquisition

While not a direct funding story, WestBridge-backed Phenom’s acquisition of HR tech startup EDGE adds muscle to its talent experience platform. The acquisition supports Phenom’s goal to create a holistic, AI-powered hiring and retention ecosystem.

EDGE’s technology will be integrated into Phenom’s existing suite to enhance diversity hiring, skill mapping, and internal mobility.

The merger reflects a broader trend of consolidation in HR tech, with companies aiming to build end-to-end solutions that span the entire employee lifecycle.

The year of specialisation, AI and scale

2025 has proven to be a landmark year for HR tech investment, marked by bold bets on automation, mental wellness, predictive insights, and AI-first recruitment. From billion-dollar unicorns to niche innovators tackling mental health or hourly workforce challenges, the HR tech space is diversifying fast.

The unifying theme across these ventures? A deep commitment to rethinking how workforces are hired, managed, supported, and scaled. As companies worldwide prepare for a future driven by AI and evolving employee expectations, these startups offer a glimpse into what the next decade of work could look like.

Beyond the headline numbers, the HR tech boom in 2025 underscores one thing clearly: the workplace of the future will be intelligent, inclusive, and insight-driven. And the startups of today are setting the blueprint for that transformation.