The core HR software market size is poised to grow USD 15.1 billion by 2028 from USD 10.7 billion in 2023 at a Compound Annual Growth Rate (CAGR) of 7.0% during the forecast period, according to MarketsandMarkets.
All employee-related data including personal details, employment history, pay, benefits, performance reviews, is managed centrally by core HR software. The market is anticipated to grow more in the coming years as more attention is focused on improving employee experiences, customisation, international compliance, and addressing the needs of remote work and diversity.
The features for AI-powered recruitment and continuous learning, data security, and mobile accessibility are expected to shape the software’s future.
Highest growth in APAC
Among the regions globally, the core HR software market is experiencing rapid growth and expansion in Asia Pacific countries. The demand for advanced HR solutions to streamline workforce management and boost overall HR efficiency is driven by the region's diverse and dynamic business landscape and growing adoption of technology.
Being an emerging economy, companies of all sizes, are recognizing the importance of the technology to optimize HR processes and support organisational growth. The top focus for core HR software providers in the region is the integration with other business systems, including payroll, accounting, and talent management.
