Previously, we defined what it means to adopt an “employee-first” mindset in HR: treating employees as a company’s most important customers.
Next we explore how HR leaders can make the shift culturally, evolving from policy enforcers to strategic partners.
This evolution hinges on two key ingredients: empathy (leading with a human touch) and insight (grounding decisions in real employee feedback and data), as illustrated in the E+I Model Grid:
The goal is to transform HR’s role in a way that not only aligns with a broader employee experience mission, but also earns the trust of employees and business leaders alike.
Not long ago, HR was often seen as the “personnel” department—focused on enforcing policies, processing paperwork, and protecting the company’s interests.
As one CHRO put it, in many organizations HR still “sits awkwardly between its history as a support function and its future as a strategic partner” (McKinsey).
The old compliance-driven image of HR has come at a cost: studies show that HR’s work isn’t always valued or trusted.
In fact, only about 1 in 3 executives strongly agree that their organization values the work HR does, and just 20% of C-suite leaders strongly believe their HR function improves company performance (Deloitte).
Meanwhile, on the employee side, more than a third of workers (in one U.S. survey) said they don’t trust their HR department, citing perceptions of bias, inconsistency, and lack of care (HR Dive). When employees have workplace concerns, many would rather go to their manager or a colleague, or even do nothing, before turning to HR (HBR).
These gaps in trust and credibility underscore the need for HR to reframe its role.
The good news is that a transformation is already underway. The challenges of recent years (from pandemic disruptions to talent shortages) have pushed HR into the spotlight as never before. In one interviews study, 90% of CHROs said they expect significant changes to the HR operating model in the next 2-3 years (McKinsey).
HR professionals themselves feel more empowered: almost half (46%) of HR leaders say they now have a leading role in company strategy, with another 48% having some influence.
And importantly, six in ten HR leaders believe their executive team views HR as essential to building a successful workplace (Unleash). In other words, HR has a seat at the table and a mandate to add value.
To shift from policy enforcer to strategic partner, HR must capitalize on this mandate by focusing on what drives organizational success today: an engaged, supported workforce. It’s never been more important for HR to act as a bridge between employees and the business strategy.
That means shedding the old “HR says no” image and reframing HR as a proactive advisor and champion for people. The cultural evolution starts with putting employees’ experience at the heart of HR’s mission and aligning HR goals with broader business outcomes (like productivity, innovation, and customer satisfaction).
In practical terms, this shift comes down to leading with empathy in every interaction and leveraging employee insights to guide decisions. In the sections that follow, we’ll delve into how HR teams can embed empathy into daily practice, gather and use meaningful employee feedback, change perceptions of HR, and ultimately become stewards of a holistic employee experience agenda.
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One of the most profound cultural shifts HR can make is to embed empathy into everyday decisions. Empathy may sound like a soft idea, but it is actually a hard business skill. As one HR expert bluntly stated, “Empathy is not a soft skill… It’s a business skill. HR practitioners can’t be effective in their jobs if they don’t know how to be empathetic” (SHRM).
Empathy, the ability to understand and share others’ feelings, is a critical leadership skill that enables trust, cooperation, and positive relationships. For HR, leading with empathy means viewing policies and interactions through the lens of the employee’s experience, not just the rulebook.
It means showing employees that you genuinely care about their well-being and success, not just their output.
Importantly, empathy isn’t just a “nice to have” for HR: it has direct impact on performance and business outcomes. Research has found that empathy is the leadership skill most strongly linked to high performance: leaders who score low on empathy also tend to score low on job performance (SHRM).
Organizations with empathetic cultures benefit from higher retention and even better financial results. In this analysis, the top 10 companies in a global “Empathy Index” increased in value more than twice as much as the bottom 10, highlighting a correlation between an empathic culture and stronger growth.
At the team level, managers who lead with empathy see clear benefits: their employees are less likely to quit, more engaged, have better overall well-being, and even perform at a higher level. In today’s hybrid work environment, empathy has become “the key differentiator that drives employee performance” (Gartner). Even innovation gets a boost—people who feel understood and supported at work are more willing to take creative risks and come up with new ideas (McKinsey).
“HR excellence is modelling that, saying, ‘Hold on, we’re talking about our people. What have they been through? What do they need? Are we grounded in our values?’ Showing up authentically opens up tons of space for other people to do that too.”
- Monique Herena, Chief Colleague Ex Officer, American Express
For HR leaders, embracing a caring mindset is often described as the next frontier of excellence. Monique Herena, Chief Colleague Experience Officer at American Express, put it this way: the “key to the universe” of future HR leadership is embracing empathy and authenticity. “You have to care about other people,” she says simply (HR Executive). Under Herena’s leadership, American Express even changed its language to call all employees “colleagues,” emphasizing a culture of equal respect. HR’s job, she notes, is to help colleagues “be at their best as human beings” by focusing on holistic well-being (physical, mental, financial) and leading with employees’ best interests in the driver’s seat.
When HR professionals show up authentically and ask, “What have our people been going through and what do they need?”, it sets the tone for the entire organization. This handy E.M.P.A.T.H.Y. acronym can help guide day-to-day empathy:
This kind of empathy-led approach transforms HR from an enforcer to an advocate and ally for employees.
So how can HR leaders embed empathy into their day-to-day operations? Here are some practical steps and habits.
Whether in one-on-one conversations, performance reviews, or conflict resolutions, make a conscious effort to truly listen to employees’ perspectives. Ask open-ended questions and repeat back what you’ve heard to ensure understanding. This shows employees that HR is interested in their point of view, not just checking a box.
Before rolling out a new policy or decision, pause to consider how it will feel to employees. For example, if you’re crafting return-to-office guidelines or a new PTO policy, involve a sample of employees or use personas to understand diverse needs. Aim to balance business needs with empathy for employees’ personal circumstances. An empathetic policy might include flexibility or support resources rather than a one-size-fits-all mandate.
HR leaders set an example for the rest of management. By showing vulnerability and understanding (for instance, acknowledging stress and offering support during tough times), HR can encourage a culture where managers at all levels lead with empathy. Remember that employees now expect more authenticity, empathy and flexibility from all leaders (Gartner), and HR can coach managers to deliver on these expectations.
Revise HR documents, emails, and training materials to make sure they don’t read as overly bureaucratic. Use a warm, conversational tone and jargon-free language. For instance, rather than a stern memo about policy compliance, frame communications around how changes benefit employees or ensure fairness. Being transparent and human in messaging builds trust.
Little gestures can go a long way. This could mean an HR team member personally checking in on an employee who had a family emergency, or celebrating employee milestones and successes publicly. When employees see HR staff as genuine people who care, rather than rule enforcers, they are more likely to approach HR in times of need.
Empathy in HR is ultimately about mindset. It’s a commitment to treat every employee with respect and understanding, even when making tough decisions. By infusing empathy into the HR culture, you pave the way for deeper trust and a more positive employee experience.
Leading with empathy goes hand-in-hand with leveraging insight; that is, gathering real employee feedback and data to inform HR decisions.
If empathy is the willingness to understand, listening is the mechanism that makes understanding possible. To reframe its role, HR must become not only more compassionate but also more data-informed about the employee experience.
This means creating a culture of listening where employees feel safe to voice their opinions, and then using those insights to drive change.
Right now, many organizations struggle with an employee “voice” gap. On paper, most HR teams say they want honest feedback from employees, but in practice a large portion of employees are reluctant to speak up.
A recent survey by SurveyMonkey found that 39% of employees feel uncomfortable giving honest feedback about their work experience to HR. Nearly a third are only “somewhat” comfortable, meaning well over half of the workforce isn’t fully candid.
The reasons vary: 44% of employees doubt their feedback will lead to meaningful change, 29% worry feedback isn’t truly anonymous, and about 24% say their company simply lacks a culture of feedback (Unleash).
In short, employees are often skeptical that speaking up will matter and some fear it could even backfire. This is a serious problem: if employees don’t share their real concerns and ideas, HR can’t address them. Worse, it breeds cynicism.
We see the effects of this feedback gap in the perception disconnects between employees and leaders. For example, 86% of HR leaders in the SurveyMonkey study believed that company leadership understands employees’ needs – but only 35% of workers agreed.
However, there’s a silver lining: in workplaces where people do feel they can provide open and honest feedback, 80% of employees agree leadership understands their needs. In other words, when employees are heard, alignment and trust improve dramatically. Openness drives understanding.
This highlights a powerful insight for HR: creating a strong feedback culture can literally bridge the gap between employees and management.
How can HR turn this around and gather meaningful employee feedback? It starts with making feedback safe, expected, and impactful. Consider these strategies to build a robust listening culture:
1. Make feedback a continuous process
Don’t rely solely on an annual engagement survey. Implement regular pulse surveys, quick polls, or check-ins that give employees frequent opportunities to share what’s working and what’s not. Supplement surveys with focus groups, town halls, or anonymous Q&A channels. The goal is to normalize feedback as an ongoing dialogue, not a one-time event.
2. Ensure anonymity and psychological safety
If employees fear retribution or embarrassment, they won’t be honest. Use third-party survey tools or anonymous suggestion boxes for sensitive topics. In team settings, establish ground rules that criticism will be used constructively, not against anyone. And critically, protect confidentiality when employees report issues (a common trust-breaker is when HR doesn’t keep sensitive matters private (HR Dive). Reassure staff that it’s not only safe to speak up—it’s encouraged.
3. Close the loop and act on feedback
Perhaps the most important way to encourage future feedback is to show that you’re listening. As the SurveyMonkey report noted, HR teams are only as effective as their ability to collect authentic feedback and act on it. After gathering input, publish the high-level results and acknowledge what you heard (even if it’s negative). Then, crucially, outline what steps will be taken in response. For example: “You told us onboarding was confusing, so we’re revamping the process this quarter.”
When employees see their feedback leading to tangible changes, it creates a virtuous cycle. Organizations that proactively act on feedback can turn around even skeptics: 39% of workers who initially felt uncomfortable giving feedback became willing to speak up once they had proof their input led to change (Unleash). Consistently asking, listening, and then taking action builds credibility and encourages more openness going forward.
4. Leverage multiple data sources for insight
Combine quantitative survey data with qualitative insights. Exit interviews, stay interviews, and one-on-one conversations can reveal rich details behind the numbers. HR should also partner with managers to capture frontline sentiments (since employees often confide in managers first). Use analytics to identify patterns—e.g., if remote employees report lower engagement, dig into why. By triangulating various data points, HR can gain a nuanced understanding of employee morale, engagement drivers, and pain points.
5. Engage employees in problem-solving
Listening doesn’t mean HR alone must have all the answers. Involve employees in addressing the issues raised. If feedback says workload is a problem, form a volunteer task force to brainstorm solutions. If people desire more career growth, convene a focus group to co-create development programs (we’ll explore co-creation more in a later chapter). When employees see that their role isn’t just to voice problems but to help fix them, mutual trust and respect grow.
By systematically gathering and acting on feedback, HR moves from assumption to insight-driven action. You’re no longer guessing what employees want or whether an initiative worked—you have the data and employee stories to back it up. Over time, this approach has another benefit: it shifts the perception of HR from being distant or indifferent to being responsive and in tune with the workforce. An HR team that listens is an HR team that employees will increasingly trust.
To cement its new role, HR must also tackle a challenge that’s more subjective but incredibly important: how employees perceive HR. All the empathy and listening in the world won’t have impact if people are still afraid to approach HR or doubt HR’s intentions. Thus, a key part of the cultural evolution is actively shaping HR’s internal brand as a trusted partner.
Let’s face it, HR’s reputation in many organizations has been mixed. We’ve all heard the jokes about HR being the “policy police” or the cynical quip that HR is there to protect the company, not the employees. As highlighted earlier, a significant number of employees view HR as aligned with leadership over the workforce – in one survey, 71% of employees said they trust their HR team overall, yet most of those same employees see HR as more on the side of the employer than the employee. This perception gap can undermine HR’s efforts: if employees believe you’re just an arm of management, they’ll be less candid, less engaged in HR programs, and less likely to seek HR’s help until issues become critical.
One of the top complaints that erodes trust in HR is inconsistency or secretive decision-making. Employees need to see that HR applies policies fairly and doesn’t play favorites—even when it’s inconvenient. Make your processes as transparent as possible. For instance, clearly communicate how promotions, pay decisions, or conflict investigations are handled, so people understand it’s a fair process. When mistakes happen, own up to them. As the saying goes, sunlight is the best disinfectant; a transparent HR builds credibility.
HR often handles sensitive personal issues (harassment claims, personal leave, etc.). How you manage these cases speaks volumes. Always safeguard confidentiality to the utmost extent and follow through on issues brought to HR. If employees see that coming to HR results in gossip or no action, trust evaporates. But when HR consistently does the right thing and maintains discretion, word gets around that “you can trust HR with this.” Over time, that reliability becomes part of HR’s brand.
HR can’t build a positive reputation from behind a closed office door. Encourage HR team members to get out and walk the floor (or its virtual equivalent). Join departmental meetings occasionally, participate in employee resource group events, have casual check-ins beyond formal surveys. The more employees see HR as fellow humans who are approachable, the more likely they are to view HR as a friendly resource rather than a last resort. Some companies even embed HRBPs (HR Business Partners) within departments so that HR presence is constant and familiar. The simple act of being there and listening informally can dispel the notion that HR only shows up when someone’s in trouble.
Don’t assume everyone knows the good that HR is doing. Part of strategic partnership is marketing HR’s value. Share success stories and metrics that matter to employees: for example, “HR implemented a new career path program and internal promotions increased 20% this year,” or “We heard your feedback on parental leave and worked with leadership to extend leave by 4 weeks.” Frame communications not as self-congratulation, but as accountability to employees, ie, here’s how HR initiatives are making this a better place to work. This helps employees connect the dots that HR is actively working on their behalf, not just pushing corporate mandates.
Much of employees’ day-to-day experience (and their view of HR) is filtered through their managers. If a manager mishandles a concern and says “HR requires this” or shows little empathy, it reflects poorly on HR. HR can change this by training managers to handle people issues with empathy and consistency, and by equipping them to explain the why behind policies. Essentially, turn managers into allies who reinforce HR’s positive intent. Also, when appropriate, HR should push back on leadership decisions that blatantly ignore employee well-being, showing that you do advocate for employees when it counts. Over time, if employees see HR constructively challenging the status quo to make things better for people, it shatters the image of HR as mere yes-men for executives.
Building trust is an ongoing effort, but it pays off. When HR is known to be fair, caring, and responsive, employees are more likely to bring issues to HR early (allowing proactive resolution) and to participate in HR programs. Perhaps most importantly, a trusted HR function means employees feel safer and more supported at work, which boosts overall engagement. As one report emphasized, “fostering a transparent and fair HR environment is crucial for building trust within organizations.” (HR Dive).
By walking the talk and living up to the values of empathy and integrity, HR can redefine its role in employees’ minds—from bureaucrat to business partner, from cop to coach.
Becoming a strategic partner also requires HR to zoom out and connect its efforts to the broader employee experience mission of the organization. In an employee-first culture, everyone, from the C-suite to line managers, shares some responsibility for creating a great workplace.
HR’s opportunity is to lead and orchestrate this mission, ensuring that the company’s employee experience (EX) aligns with its values and drives business success. This is where empathy and insight come together on a strategic level.
First, let’s clarify why employee experience is a truly strategic matter (beyond HR’s traditional scope). There is mounting evidence that a strong employee experience translates directly into better customer experience and performance.
Research by Salesforce and Forbes found that 89% of executives at companies with strong revenue growth agree that “happy employees yield happy customers.” Companies that excel in both employee experience (EX) and customer experience (CX) achieved 1.8 times faster revenue growth than those lagging in both areas (Salesforce).
In other words: EX → CX → Growth:
Smart business leaders recognize this chain reaction. However, many organizations historically treated EX as “HR’s thing” rather than a core business strategy. That is changing. Forward-thinking companies are now approaching employee experience as a company-wide priority, often with cross-functional efforts to improve workplace practices, technology, and culture.
HR is naturally positioned to champion this cause. As the experts in people dynamics, HR can bring insights (from all that listening data and empathy) into leadership discussions about company strategy. To align with the broader mission, HR should ensure that every initiative it undertakes ladders up to improving some aspect of the employee journey—ultimately helping employees be more engaged and effective in delivering the business’s goals.
This might involve HR stepping beyond traditional boundaries and collaborating with other departments: for example, working with IT to implement more intuitive, human-centered HR tech tools (so employees have consumer-grade experiences at work), or partnering with Facilities on creating workspaces that promote well-being and collaboration.
It also means holding the organization accountable to its employee-focused values. If your company claims “people are our greatest asset,” HR should be measuring and reporting on how policies and programs are actually reflecting that, be it through engagement scores, retention rates, or employee referrals.
To align HR’s work with the broader employee experience mission, consider these action points:
💡Embed EX goals into HR strategy
Treat metrics like employee engagement, eNPS (employee Net Promoter Score), retention of top talent, and internal mobility as key performance indicators for HR, alongside traditional metrics like time-to-fill or compliance rates. Regularly present these employee experience metrics in leadership meetings with the same weight as financial or customer metrics. This keeps the focus on employees front and center and signals that HR strategy is business strategy.
💡Collaborate on cross-functional employee experience initiatives
Form an “Employee Experience Council” or similar cross-department team that meets to discuss and address employee pain points. For example, if survey data shows onboarding is disjointed, HR, IT, and business unit leaders can jointly map out the employee journey for onboarding and co-own improvements. HR can provide the facilitation and insight, but solutions might involve multiple functions (such as better IT setup on Day 1, or buddy programs within departments). By co-creating improvements, you ensure the employee-first mindset permeates all parts of the company, not just HR.
💡Align policies with culture and values
Conduct an audit of HR policies and practices against the question, “Does this reflect an employee-first, empathetic approach?” Ensure each policy’s intent is clearly connected to a positive employee outcome or experience. For instance, if innovation is a company value, do your performance management and rewards practices encourage risk-taking and creativity (employee experience of growth), or do they inadvertently punish failure and stifle new ideas? If there’s misalignment, work with leadership to adjust policies so that the lived employee experience reinforces the desired culture.
💡Be the voice of the employee in strategic decisions
When business strategies are discussed, whether it’s entering a new market, restructuring a team, or implementing new technology, bring employee impact considerations to the table. Use insights from your feedback loops to advocate for change that will make the strategy succeed through people. For example, if leadership is pushing a customer-centric initiative, HR can contribute by saying, “To deliver that, here’s what our employees will need in terms of training, support, and motivation, based on what they’ve told us.” This positions HR as an equal partner shaping strategy, not just executing orders.
💡Evangelize the employee-first mindset
Finally, HR should consistently communicate the connection between employee experience and business results to both leaders and employees. Internally, celebrate examples where an employee-centric change led to a positive business outcome (e.g., after implementing a new flexible work policy, attrition of high performers dropped by X%, boosting productivity). Externally, stay abreast of thought leadership (from sources like McKinsey, Gartner, etc.) that provides data and case studies you can share with executives to reinforce why investing in employee experience pays off. Over time, HR becomes not just the owner of employee experience projects, but the chief advocate of a people-first philosophy company-wide.
When HR aligns itself with the broader employee experience mission, it transcends the confines of the HR department. You’re no longer just running HR programs in a silo; you’re leading a movement to create a workplace where employees can thrive. This is the pinnacle of HR as a strategic partner: driving cultural change that enables the organization’s long-term success. It shifts the perception of HR from a narrow functional role to a vital leadership role; one that uses empathy to understand what employees need and insight to turn that understanding into action.
Reframing HR’s role through empathy and insight is not an overnight task—it’s a journey of cultural change. By moving away from the old mindset of control and compliance, and towards a new paradigm of understanding and partnership, HR can profoundly impact both employees’ daily lives and the organization’s trajectory.
We’ve seen that leading with empathy can unlock higher performance, innovation, and trust, while diligent listening and feedback can guide smarter decisions and bridge gaps between employees and leadership.
When HR earns trust and aligns with a broader employee experience mission, it essentially hard-wires the “employee-first” mindset into the company’s DNA, creating a ripple effect of positive outcomes (engaged employees, happier customers, stronger business results (Salesforce).
For senior HR leaders, the mandate is clear: make the shift. Start with small steps, perhaps an initiative to revamp how you gather employee input, or a workshop to coach managers on empathetic leadership, and build on those wins.
Change perceptions by consistently demonstrating that HR is here to help, not merely to enforce. Over time, you’ll cultivate an HR function that is seen as a trusted advisor and a champion of people.
This transformation is both challenging and exciting. It calls upon HR to stretch new muscles in data, design, and emotional intelligence.
But as the HR profession evolves, those who embrace empathy and insight will be the ones to elevate HR from the backroom to the strategic forefront.
How Applaud Helps You Make It Happen
At Applaud, we believe employees are a company’s most important customers. That’s why our technology is built entirely from the employee’s point of view—delivering more human, intuitive, and rewarding HR experiences that empower HR teams to do more for their people.
If you’re ready to turn employee-first HR from vision to reality, we’re here to help. Get in touch to see how Applaud can transform your HR Service Delivery and create a workplace where employees truly thrive.
Duncan Casemore is Co-Founder and CTO of Applaud, an award-winning HR platform built entirely around employees. Formerly at Oracle and a global HR consultant, Duncan is known for championing more human, intuitive HR tech. Regularly featured in top publications, he collaborates with thought leaders like Josh Bersin, speaks at major events, and continues to help organizations create truly people-first workplaces.