TL;DR: HR hiring in 2026 is active but uneven. Employee relations, reward and HR data specialists are the hardest roles to fill, and experienced Employee Relations Manager salaries have risen 8 to 12% in a year. 38% of HR vacancies are now for specialist roles, up from 27% in 2023. The Employment Rights Act 2025 is behind much of this demand. Most HR professionals saw little or no pay rise in 2025, and the benefit they most want but rarely get is a training and CPD budget.

What is the HR job market like in 2026?

Busy, but not evenly. 52% of HR employers plan to hire in the next six months, and 46% of HR professionals are actively or passively considering a move.

Two things are pulling in different directions. The Employment Rights Act 2025 has created immediate demand for employee relations specialists, reward professionals and anyone who has implemented legislative change at scale. At the same time, many organisations are still cautious about adding permanent generalist headcount while they work out what the new legislation will cost them.

The result is that specialists are in short supply and can command premium salaries, generalist HR Business Partner and HR Manager roles are available but competitive, and some organisations are running leaner HR admin teams because of the National Living Wage rise and better HR systems.

Source: The ONE Group HR placement data and employer survey, January 2026

Which HR roles are most in demand in 2026?

• Employee Relations Specialist or Manager (very high demand): driven by Employment Rights Act implementation and more tribunal activity.
• Reward Manager or Analyst (high): pay equity reviews, compliance work and redesigning bonus structures.
• Experienced HR Business Partner (high): business partnering through restructures and legislative change.
• Talent Acquisition Manager (moderate to high): selective hiring has resumed and internal TA teams cut in 2024 are being rebuilt.
• L&D Manager or Business Partner (moderate): investment in skills development is returning.
• HR Data or MI Analyst (moderate): people analytics is increasingly expected at a strategic level.
• ED&I Manager (moderate): mandatory gender pay action plans from 2027 are driving investment.
• Generalist HR Manager (moderate): SMEs continue to grow and build standalone HR functions.

Source: The ONE Group HR placement data and employer survey, January 2026

For employers, the practical point is speed. ER, reward and HR data are where the gap between supply and demand is widest and where salary expectations have moved most in the last 12 months. Generalist roles allow more time, but a clear brief and a clean process still win the better candidates.

How is the Employment Rights Act 2025 affecting HR teams?

The Employment Rights Act 2025 is the biggest change to UK employment law in a generation, and HR teams are in an awkward position with it. The people responsible for understanding it, updating policies, briefing managers and handling the employee relations fallout are also employees whose own terms are affected by it.

Several changes have been in force since April 2026:

• 6 April 2026: Statutory Sick Pay payable from the first day of sickness, day-one paternity and parental leave rights, and the collective redundancy protective award doubled to 180 days’ pay.
• 7 April 2026: the Fair Work Agency was established, a new enforcement body for employment rights.
• April 2026: menopause action plans and gender pay action plans became voluntary for employers with 250 or more staff, ahead of becoming mandatory in 2027.

Still to come:

• October 2026: employment tribunal time limits extend to six months.
• 1 January 2027: the unfair dismissal qualifying period drops to six months and the cap on unfair dismissal compensation is removed.
• January 2027: fire and rehire is significantly restricted.
• 2027: guaranteed hours obligations for zero hours workers, stronger requirements when refusing flexible working requests, and mandatory menopause and gender pay action plans for employers with 250 or more staff.

Source: Employment Rights Act 2025 / Lewis Silkin ERA dashboard, February 2026

If SSP, parental leave and collective redundancy processes have not been updated since April, that is overdue. The January 2027 changes need a longer lead time. Probation processes and performance management frameworks should be reviewed now, because anyone hired today will be covered by the six-month qualifying period within months of joining.

Why are HR roles becoming more specialised?

38% of HR vacancies in our 2026 data are for specialist rather than generalist roles, up from 27% in 2023. Reward, employee relations, ED&I and people analytics now have their own career paths and salary benchmarks. In Cambridge, a Reward Manager now typically earns more than an HR Manager.

For HR professionals, building deep expertise in reward, ER, L&D or people data has never paid better. For employers, the traditional model of a generalist team with a broad HRBP layer is being squeezed from both ends: specialists cost more at the top, and HR systems are reducing the need for transactional support at the bottom.

Why is employee relations in such high demand?

Longer tribunal time limits, the removal of the unfair dismissal compensation cap and tighter rules on fire and rehire mean ER capability is no longer optional. Organisations that ran lean ER functions after the pandemic are rebuilding them.

Experienced ER Manager salaries have risen 8 to 12% across our regions in the last 12 months. Candidates with tribunal experience and a background in complex collective consultation are receiving offers at or above the top of our salary ranges.

Why are reward professionals so hard to hire?

Reward is the most undersupplied HR specialism in 2026. Gender pay action plans become mandatory in 2027 for employers with 250 or more staff, and pressure on pay equity and benefits is growing, but the pipeline of trained reward professionals has not kept up. Compensation Specialists and Reward Analysts are receiving counter-offers that would have been unusual three years ago. Employers planning a reward hire should budget at the top of the range and move quickly.

Is ED&I becoming a standalone HR function?

Yes. ED&I now commonly has its own reporting line, metrics and career path. Head of ED&I roles, rare in 2022, are now a feature of most organisations with more than 500 employees. The 2027 gender pay action plan requirements mean this work needs dedicated resource and good data, and building that before the deadline is far easier than doing it in a rush afterwards.

How much do HR professionals earn in 2026?

Typical private sector salaries across our six regions in early 2026:

• Chief People Officer: £115,000 to £140,000
• HR Director: £90,000 to £125,000
• Head of HR or People: £70,000 to £90,000
• HR Manager: £50,000 to £60,000
• HR Advisor: £30,000 to £38,000
• Employee Relations Manager: £50,000 to £70,000
• Reward Manager: £60,000 to £75,000
• HR MI Analyst: £40,000 to £50,000

Peterborough generally sits at the lower end of these ranges and Cambridge, Hertfordshire and Essex at the higher end. Public sector and not-for-profit salaries are usually lower. For example, a Head of HR in the public and not-for-profit sector typically earns £65,000 to £80,000. The Typical figure is the most common placement salary we see, and all figures are for permanent roles.

Source: The ONE Group HR salary guide 2026. Full regional tables split by private and public sector are in the guide.

Did HR professionals get a pay rise in 2025?

Most did not get much. 36% received no salary increase in 2025, and 49% received between 1 and 4%, below inflation for most of the year. Only 13% received 5% or more.

HR professionals feel this more sharply than most. Of all the groups we survey, they show the biggest disconnect between what they know employers can pay and what they receive themselves. People who benchmark salaries for a living notice when their own falls behind.

How satisfied are HR professionals with their jobs?

• Baby Boomers: 68% satisfied. Generally settled, with culture and values alignment mattering most.
• Millennials: 63% satisfied. Salary and career progression are the main frustrations.
• Gen X: 59% satisfied. The main frustration is a lack of strategic influence and recognition.
• Gen Z: 43% satisfied. Salary, development and the pace of change are the main frustrations.

Source: The ONE Group HR candidate survey, January 2026. n=289

41% of HR professionals say wanting a more strategic role is a primary reason for considering a move. That reflects a long-standing frustration in the profession: capable business partners being used mainly for operational and transactional work.

Do HR candidates expect a salary on the job advert?

Yes. 57% of HR professionals say they would not apply for a role without a salary range advertised. Often these are the same people who advised their own organisations to advertise salaries. If you are hiring in HR and not showing the salary, you are losing candidates before they click.

Should HR professionals accept a counter-offer?

42% of HR professionals in our survey have received a counter-offer and 55% accepted it. Our consultants consistently see those who accept leaving within twelve months more often than those who decline and move. The reasons people want to leave, such as limited strategic influence, limited development or pay that has fallen behind, rarely go away with a pay rise alone.

For employers, regular salary reviews and structured career conversations work out cheaper and more effective than reactive counter-offers. HR professionals who feel underpaid tend to disengage quietly long before they start looking.

What benefits do HR professionals want most?

97% of HR professionals say benefits are very or quite important when evaluating a new role. The biggest gaps between what employers offer and what HR professionals want are:

• Training and CPD budget: wanted by 43%, offered by 22%. A gap of 21 points.
• Flexible working: a gap of 20 points.
• Enhanced pension: a gap of 16 points.
• Performance bonus: a gap of 14 points.
• Private healthcare: a gap of 9 points.
• Hybrid working: a gap of 7 points.
• Extra holiday: a gap of 6 points.
• EAP and wellbeing support: offered more often than it is wanted.

Source: The ONE Group HR employer and candidate surveys, January 2026

The training gap stands out. A profession that exists to develop others is not having its own development invested in, and with this much legislative change in 2026, that has a direct operational cost. A named CPD allowance, even a modest one, and flexible start and finish times are both cheap to offer compared with salary, and neither needs a change to your wider reward framework.

Do HR professionals work hybrid?

Most already do. 51% of HR professionals are in a structured hybrid arrangement, with two or three office days the most common pattern. What is undersupplied is flexibility on hours alongside hybrid: being able to start and finish early, or work caring responsibilities around core hours. That matters a great deal in a profession where women make up much of the senior workforce and caring loads tend to be higher than average.

Source: The ONE Group candidate survey, January 2026

What should employers hiring in HR do in 2026?

• Budget at the top of the range and run a fast process for ER, reward and HR data roles. These candidates have options.
• Review your HR structure. A resourcing model built around a generalist HRBP layer may no longer match what the business needs.
• Advertise the salary. HR professionals know the market better than almost anyone and will not apply blind.
• Add a named CPD allowance. It is one of the lowest-cost, highest-signal additions to an HR offer.
• Review probation and performance management before 1 January 2027, not after the first claim arrives.

Frequently asked questions

Q: Which HR specialism has seen the biggest salary growth?

Employee relations. Experienced ER Manager salaries rose 8 to 12% across our regions in the 12 months to early 2026, with tribunal experience pushing offers above the top of the published ranges.

Q: Is 2026 a good time to move HR jobs?

For specialists in ER, reward or HR data, yes. Demand is high and supply is short. Generalist roles are available but more competitive, so a clear specialism or experience of implementing legislative change will help you stand out.

Q: Do public sector HR roles pay less than private sector?

Generally, yes, particularly at senior level. Our guide shows private and public sector figures separately for each region because a blended figure would not reflect either market accurately.

Q: What Employment Rights Act changes are still to come?

Tribunal time limits extend to six months from October 2026. From 1 January 2027, the unfair dismissal qualifying period falls to six months and the compensation cap is removed. Fire and rehire restrictions, zero hours guaranteed hours and stronger flexible working rules follow in 2027.

Q: How can employers keep HR staff without a big pay rise?

Offer a named training and CPD budget, flexible start and finish times, and genuine strategic involvement. These address the most common reasons HR professionals leave and cost far less than replacing them.

Article produced by The ONE Group | www.theonegroup.co.uk