As 2024 draws to a close, we look back on a year that truly reshaped the world of work. 2024 was a year of major shifts that challenged and redefined how we work. From the tragic human toll of workplace stress to the explosive rise of artificial intelligence, we’ve been forced to confront tough questions about the future of work. How will technology shape our jobs, and how do we keep our work meaningful and ensure that our well-being isn't compromised?

The heartbreaking reality of workplace stress, marked by a series of deaths, underscored the urgent need for change. Simultaneously, the incredible rise of artificial intelligence is transforming industries at an unprecedented pace. 

Let's explore the stories that have captured the attention of HR and business leaders worldwide. 

1. Series of deaths sparks mental health reckoning

The tragic death of EY employee Anna Sebastian Perayil due to workplace stress in 2024 became a global wake-up call for organizations. This wasn't an isolated incident. Subsequent tragic deaths in Mumbai, Lucknow, and Jhansi, allegedly linked to excessive work pressure and demanding targets, ignited a global conversation about the devastating consequences of neglecting employee mental health. The spotlight fell on the insidious nature of burnout, the toxic impact of "always-on" cultures, and the urgent need for organizations to prioritize employee well-being. 

The corporate world remains divided on the issue.. NR Narayana Murthy recently provoked debate by endorsing a 70-hour workweek, asserting that young professionals must work hard to stay competitive on the global stage. His comments sparked a debate on whether such demands foster toxic work environments.

In response to these tragedies, there has been a growing call for industry-wide reforms. These include mandatory mental health training, accessible support resources, and a shift in leadership approaches that prioritize employee well-being alongside productivity.

2. AI’s breakout year: The ChatGPT revolution

2024 witnessed the explosive growth of generative AI, spearheaded by the phenomenal success of ChatGPT. From automating mundane tasks like data entry and report generation to powering innovative solutions in marketing, customer service, and even drug discovery, AI has become an indispensable tool for businesses. 

In 2024, OpenAI made waves with innovations like GPT-4o, the smaller GPT-4o Mini, and the reasoning-focused o1 model. New features like ChatGPT Search and the 1-800-CHATGPT phone service expanded accessibility. However, regulatory scrutiny intensified, with Italy fining OpenAI €15 million for data privacy violations.

Internally, OpenAI stabilised after CEO Sam Altman’s return and achieved a $157 billion valuation. Partnerships, including integrations with Apple, boosted its reach, while Microsoft explored alternatives to OpenAI models for its 365 Copilot, ramping up competition. The year blended progress with mounting challenges, defining a transformative phase for the AI leader.

3. Quiet quitting meets quiet hiring

The "quiet quitting" phenomenon, where employees perform only the minimum required tasks, continued to challenge employers in 2024. In response, many organizations shifted their focus towards "quiet hiring"—upskilling existing employees and redistributing talent internally to meet critical business needs. This approach not only addressed the skills gap and reduced recruitment costs but also fostered employee engagement and loyalty by providing opportunities for growth and development within the organization. This shift in focus underscored a growing recognition of the importance of investing in employee development and creating a culture of internal mobility to retain top talent in an increasingly competitive job market.

4. 4-Day workweek: A step closer to the new normal

With mounting evidence demonstrating the positive impact of shorter workweek on employee well-being, productivity, and work-life balance, many companies, including global giants like Unilever, embraced this new model. While challenges related to scalability and implementation across different industries remained, the 4-day workweek emerged as a significant step towards a more humane and sustainable approach to work. This trend sparked a broader conversation about redefining traditional work structures, challenging long-held assumptions about productivity, and prioritizing employee well-being as a key driver of business success.

5. Hybrid work and Return-to-Office struggles

The hybrid work model continued to evolve in 2024, facing challenges as companies grappled with balancing flexibility with the need for in-person collaboration. While some organizations pushed for a mandatory return to the office, encountering resistance from employees who valued the flexibility and productivity gains of remote work, others embraced more nuanced approaches, allowing for greater employee autonomy and choice. This ongoing struggle underscored the need for organisations to develop flexible and inclusive work policies that accommodate diverse employee needs and preferences while fostering a strong and collaborative company culture.

6. Tech layoffs and the impact on industry confidence

2024 has been a year of significant layoffs across various industries, with the tech sector being particularly hard-hit. Major companies like Tesla, Intel, and Microsoft announced substantial workforce reductions due to factors such as cost-cutting measures, the integration of AI, and economic uncertainty.

Beyond tech, other sectors also experienced job cuts. The automotive industry faced challenges with the transition to electric vehicles, leading to layoffs at several companies.  General Motors announced 1,000 job cuts, Nissan slashed 9,000 roles globally, and Bosch laid off 7,000 employees with warnings of further reductions. Schaeffler cut 4,700 jobs in Europe after a sharp decline in profits. Economic headwinds and restructuring efforts also impacted companies in sectors such as finance, retail, and manufacturing. The overall impact of these layoffs on the global job market has been substantial, prompting discussions about workforce adaptation and the changing nature of work.

These layoffs sparked widespread concern about the sustainability of tech-driven business models and the shifting power dynamics between employers and employees. The industry grappled with questions about the long-term impact of these layoffs on innovation, employee morale, and the overall health of the tech sector.

7. CEOs push for AI-powered workforce transformation

Leaders like Microsoft’s Satya Nadella and Salesforce’s Marc Benioff spearheaded efforts to fully integrate AI into their organisations. By leveraging AI-powered tools to enhance employee productivity, automate workflows, and personalise customer experiences, these companies drove significant shifts in workplace structures and job roles. 

According to A McKinsey Global Institute report,  up to 30 per cent of hours worked could be automated by 2030, boosted by gen AI, leading to millions of required occupational transitions. By 2030, our analysis finds that about 27 per cent of current hours worked in Europe and 30 per cent of hours worked in the United States could be automated and accelerated by gen AI. Employees need to acquire new skills to work alongside AI and leverage its capabilities effectively. This necessitates significant investments in employee training programs focused on digital literacy, data analysis, critical thinking, and creativity.

Looking ahead, the successful integration of AI will depend on prioritising employee well-being. Addressing employee anxieties about job displacement and providing adequate support for reskilling and upskilling initiatives. Creating an environment where employees are encouraged to embrace new technologies and develop in-demand skills. Lastly, Ethical AI development and deployment: Ensuring that AI is used responsibly and ethically, with a focus on fairness, transparency, and accountability.

8. Rising wave of CEO departures

2024 is shaping up to be a record-breaking year for CEO turnover, with over 1,800 executives stepping down from their positions. This surge in departures reflects the rapidly changing corporate landscape and the mounting pressures on today's leaders.

Several factors are contributing to this trend. Boards are increasingly impatient with underperforming CEOs, demanding immediate results and holding them accountable for lacklustre performance. This heightened scrutiny is particularly evident in thriving markets where underperforming companies stand out.

The relentless pace of change and the weight of strategic decision-making are also taking a toll on leaders, leading to increased levels of burnout. Ethical breaches are no longer tolerated, with several CEOs ousted for misconduct. While some departures may be strategic, the high turnover rate signals instability and highlights the evolving demands of the CEO role.