HR is on the cusp of a major shift, driven by the rise of agentic artificial intelligence. According to Salesforce, agentic AI adoption is expected to grow 327% by 2027, and once fully implemented, is expected to deliver 30% gains in employee productivity while reducing labour costs by 19%.
Unlike traditional AI tools that are more rules-based and reactive, agentic AI systems offer a higher level of sophistication, capable of learning, adapting, and self-operating with minimal human intervention.
Think of regular AI as a junior analyst. They’re smart, efficient, and reliable—but only when you give them a specific task with clear instructions. They require direction, follow a set of rules, and deliver outputs as requested. But if the situation changes, they need similar modifications in their instructions.
Agentic AI, on the other hand, functions similarly to an empowered project team. You set the “what” and they figure out the “how”, by analysing data, making decisions, adapting to roadblocks, and continuously learning based on context. They don’t require constant supervision and can update you on results and outcomes.
But while the opportunities surrounding agentic AI are huge, so are the responsibilities. Because agentic AI acts with greater autonomy, there are also pronounced challenges related to bias, data security, and transparency—all of which must be carefully managed. For the HR teams that can effectively balance leadership, governance, and ethical guardrails, however, agentic AI presents a brand-new frontier for delivering dramatic business outcomes in the areas of talent acquisition, employee experience, and workforce planning.
What is agentic Artificial Intelligence in HR?
While most businesses are currently looking to use AI for automation and predictive analytics, the most forward-thinking of organisations are already exploring how agentic AI can be onboarded as a new autonomous collaborator for key business functions.
Agentic AI is not simply a new layer of automation—it is essentially a new class of “digital employee” that is able to understand objectives, reason through complex scenarios, execute multi-step actions, and continuously learn and optimise processes.
Broken down simply, while regular AI uses a linear workflow, agentic AI has a “sense-plan-act” loop as a core part of its technical mechanism that powers its autonomy and decision-making functions.
The loop consists of three continuous steps:
- Sense: The agent gathers new inputs and analyses the results of its previous actions
- Plan: The agent then updates its task breakdown and determines the next best course of action based on the current context
- Act: The agent then executes the plan based on whatever external tools it is connected to, such as a HR or talent management system, to generate a specific output
Because agentic AI operates in this continuous feedback loop, it can learn, adapt, and adjust on the fly—something regular AI can’t do. This agility allows it to respond to changing conditions and process complex data far more effectively. For HR teams, this means a powerful partner in providing smarter, more effective recommendations for improved efficiency, productivity, and cost savings—all continuously refined through self-improvement and real-time learning.
How autonomous AI agents are transforming HR
Autonomous AI agents are not just optimising individual tasks in HR teams—they are rearchitecting entire HR functions across the end-to-end talent lifecycle.
One of the most immediate and impactful cases for agentic AI is in talent acquisition. Beyond automating repetitive, high-volume tasks, AI agents can assist with sourcing and screening, scouring vast talent pools to identify both active and passive candidates who may be open to new opportunities; conducting pre-screening interviews and dynamically adjust its questions based on candidate responses; and managing the entire recruitment workflow from job post listings, to scheduling, to relationship-building. Unilever famously saved over 100,000 hours and £1 million annually by incorporating AI into its talent acquisition workflow.
Beyond acquisition, agentic AI also opens new opportunities for enhancing the employee lifecycle and experience. During onboarding, AI agents can schedule training, provision tools, and deliver a personalised new-hire experience while reducing manual HR workload. “Always-on” support agents give employees instant, accurate answers to questions and automate approvals, escalating only when needed. Continuous listening agents can also gather real-time feedback, analyse sentiment, and flag risks like disengagement or turnover early, moving HR from reactive service to proactive guidance. The result is more intuitive, efficient, and responsive employee experiences that boosts productivity, allowing HR to focus less on constant employee supervision and more on strategy.
Specifically, strategy related to talent management. By automating administrative burdens, AI agents allow HR to elevate their function and become a more strategic partner to the business. Assisted by agentic AI, HR teams can power internal mobility by identifying the best candidates for new roles based on skills, experience, and aspiration. Imagine having a team of AI agents rather than a human employee sift through the profiles for tens of thousands of staff, uncovering hidden correlations to provide next-level strategic insight on workforce optimisation and upskilling—the benefits of which are compounded for larger organisations with vast amounts of complex workforce data.
By empowering HR teams with the strategic foresight to proactively staff for new functions that align with future business needs, agentic AI will be instrumental to closing the talent gap, especially in the face of rapidly changing markets.
Risk and AI governance considerations
Of course, the power of agentic AI must be tempered with risk and governance considerations. HR leaders have a responsibility to address the significant ethical and operations risks that come with every new technology.
AI systems are already known to amplify any inherent algorithmic bias, which can unintentionally reproduce or worsen discrimination if trained on skewed data or flawed design. To combat any negative or biased outcomes, HR teams must be committed to conducting ongoing audits, overseeing the provision of diverse datasets, and requiring the implementation of bias-detection tools.
Data is also key to delivering effective AI outcomes, which brings in the challenge of data privacy and security. If data governance is overly permissive, AI agents may inherit all the system access rights of the employees they serve—and may unknowingly expose sensitive information the employee didn’t even know they could access. Preventing this risk requires treating AI as a data governance challenge: enforcing least privilege, running permission audits, and deploying AI-specific monitoring.
And then there is the enduring “black box problem” of over-reliance on AI for decision-making. The complexity of AI reasoning often makes its conclusions opaque, which presents a key ethical question: how much should we delegate to AI when it comes to the deepy human, very personal decisions that come with hiring and firing? Striking the right balance requires a strong partnership between AI and HR leaders, with transparent governance supported by multidisciplinary teams. Without this, organisations runs the risk of undermining trust, complicating audits, and unfairly placing the burden of accountability for AI errors onto humans.
Navigating the future of Agentic AI in HR requires leading with intent
Undoubtedly, agentic AI offers dramatic and unprecedented transformative potential for HR teams. Yet, the core functions of HR—empathy, ethical judgement, and relationship-building—remain uniquely human and indispensable. Despite all the power and potential of AI to analyse massive datasets, streamline mundane administrative tasks, and provide strategic recommendations, HR teams will not be replaced by technology. Rather, they will only be augmented by it. Complex employee issues, high-stakes decisions, and trust-building all still require the human touch.
Success in the new era of agentic AI hinges on never losing sight of that human-centric approach. By embedding robust ethical governance, safeguarding data privacy, and harnessing AI as a tool and not a magic wand, HR leaders ensure that AI amplifies rather than replaces human judgement and oversight. With foresight and intentional leadership, HR leaders can harness agentic AI to reinvent the role of HR—no longer as merely administrator, but as a strategic partner in innovation and growth.
Contact RMI today to learn more about how to effectively navigate the future of agentic AI in HR.
