2026 workforce predictions: insights from our leadership team
Article
Article by Horizontal Team
Jan 14, 2026
As organizations look toward 2026, the workforce landscape is entering a pivotal period. Advances in AI, shifting talent expectations, evolving delivery models, and regional market dynamics are reshaping how companies build teams and drive results.
We asked 10 of our leaders from across our organization (and the world) to share their top predictions for the year ahead. From AI to the labor market to MSP strategy and more, they've shared views on what’s changing, what’s staying constant, and where intentional leadership will matter most.
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Health, well-being & the future of work Jeremy Langevin Cofounder & CEO, Horizontal Talent |
2026 will mark the pivot from burnout to breakthrough. As AI takes on the tedious and the transactional, leaders can prioritize well-being, belonging, and purpose, unleashing teams that are more innovative, more connected, and more sustainably high-performing. The organizations that act on this opportunity will unlock the kind of performance only healthy teams can deliver.
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Global talent strategy & labor market shifts Kevin Erickson Regional Vice President |
In 2026, talent strategies will continue to be global, but expect a subtle shift. As competition and cost pressures rise offshore and nearshore, companies are rediscovering the value of domestic hiring. This isn’t about replacing global sourcing; it’s about rebalancing for resilience and access to great talent. The future is still global, but the pendulum is swinging slightly back toward home.
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AI, recruiting & delivery models Kris Hancock Regional Delivery Director |
AI and automation will become central to recruiting rather than experimental tools. Recruiters will continue shifting from transactional sourcers to strategic advisors, using sound judgment, data-driven insights, and candidate coaching. While technology will expand reach, human judgment and relationship skills will remain key differentiators. At the same time, companies will increasingly view contingent labor as a long-term workforce strategy, with team and project-based delivery models continuing to grow beyond traditional staff augmentation.
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AI at enterprise scale Pallayya Batchu Vice President, Global Technology Services |
By 2026, AI will move from isolated pilots to scaled, enterprise-grade deployments embedded across core business functions. Organizations will shift focus from experimentation to operationalization, prioritizing data readiness, governance, security, and integration into real workflows. As AI becomes a foundational capability, enterprises will adopt AI-first operating models, redesign roles around judgment and oversight, and adapt engineering practices to keep pace with dramatically accelerated development cycles.
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Consultant experience, balance & intentional growth Rachel Enstrom Sr. Director, Global Product, Marketing & Technology |
In 2026, consultant experience and work-life balance will become measurable growth levers, not 'nice-to-haves.' Candidates will increasingly expect consumer-grade experiences (speed, personalization, clarity, and trust) paired with realistic workloads and flexibility. Burnout and mental load will directly impact fill rates, assignment success, client satisfaction, and employer brand. The staffing firms that grow the fastest won’t look the most innovative; they’ll look the most intentional in how they apply automation, support talent between placements, and build trust at scale.
APAC workforce trends
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Sreejith Pilassery Regional Vice President, APAC |
The Asia-Pacific region will continue to outpace global staffing growth in 2026, driven by increased demand, greater regional talent mobility, and accelerated AI adoption in talent services. As AI and automation reshape recruitment, traditional sourcing skills will become less of a differentiator, marking a shift away from resume-driven hiring toward more intelligent, skills- and outcomes-based models. At the same time, APAC will further solidify its role as a global talent engine through specialized hubs, with India leading AI innovation, Malaysia emerging as a data center hub, and Australia strengthening its position in cybersecurity and digital services.
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Vijay Nair Country Director, India |
By 2026, as India’s IT industry evolves toward product ownership and AI-led transformation, the traditional separation between staffing and services will continue to blur. Organizations will increasingly look for partners that combine high-quality technology talent with digital capabilities, moving beyond role-based hiring to building long-term technology capacity.
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Michelle Teoh Country Director, Malaysia |
Hiring focus in Malaysia continues to center on strategic and digital roles, particularly those with AI integration such as AI engineers, machine learning experts, and AI governance professionals. An increasing number of SMEs are exploring AI to enhance productivity and efficiency, while many MNCs are transforming their core operating models by building internal copilots to support data protection and regulatory compliance. As AI adoption grows, internal HR functions are evolving from administrative roles to value-creation partners, using data to improve recruitment, engagement, learning, and retention outcomes.
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Rob Hart Country Director, Australia |
In 2026, the Australian tech staffing market is expected to see increased sourcing and delivery of offshore talent to meet demand. AI, data, cloud, and cyber skills remain in high demand, while the supply of Australia-based resources continues to lag. As a result, many businesses, particularly in the SME market, are seeking more cost-effective talent solutions.
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CW / MSP strategy & compliance pressure Jeff Seebinger Regional Vice President |
In 2026, clients and MSPs will intensify efforts to reclassify mis-assigned contingent talent from ambiguous SOW arrangements into true staff augmentation roles, driven by cost pressure and compliance risk. The goal will be to eliminate overpriced T&M SOW engagements with no hard milestones or deliverables so clients can capture real savings and improve predictability. As flexible workforce strategies and SOW governance become more strategic priorities, misclassification and spend transparency will be core battlegrounds for procurement and workforce leaders alike.
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Career pivots & workforce adaptability Shannon Drost Vice President, Technology Services |
As AI, automation, and sustainability reshape nearly a quarter of global roles, professionals will need to proactively realign their skills to stay employable and accelerate growth. With skills-first hiring on the rise, shorter skill lifecycles, and rapid expansion in areas like AI, data, and cybersecurity, adaptability will be the defining advantage in an increasingly dynamic job market. Career pivots in 2026 are not optional, they’re becoming a survival strategy.
Across every prediction, a common thread emerges: intention. In 2026, success will depend less on chasing trends and more on how thoughtfully organizations balance technology, talent, and trust. Leaders who prioritize well-being, embrace responsible innovation, and adapt workforce strategies with purpose will be best positioned to navigate what’s next and to build resilient, high-performing teams for the future.
We're here to help you navigate the evolving workforce. Whether you're looking for contract or direct hires, full teams or delivery center build outs, or project-based solutions, we're here to help you achieve your goals.