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min. read

What Is HR Tech?

By
Jeffrey D
Lawyer and Advocate
Last update:
September 18, 2024

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HR Tech, by today’s industry definition, are machines developed for the application of automating human resources (“HR”).

HR tech doesn't have to be high-tech software solving an HR problem; it can be as rudimentary as the old punch clock. Granted, when punch clocks were first invented, they were considered quite high-tech.

All a machine has to do to be HR tech is to automate a traditional HR process. 

What are examples of HR Tech?

Times change and technology advances. What was once considered high-tech is replaced by something even more innovative. Take, again, the punch clock. In the early 20th century, the punch clock was state-of-the-art because it automated employee payroll for management. A machine stamped a worker’s time card in a slot in a large clock, marking the time of the worker’s arrival and departure. The cards accurately displayed the time worked by the worker so the employer could easily calculate how much to pay the worker. A “start-up” known as Computing-Tabulating-Recording Company is said to have marketed the first mass-produced punch clock. Computing-Tabulating-Recording Company goes by the name IBM now. 

Fast forward to 2021, and time clocks run on phones and they are powered by the cloud. Wildly popular Intuit’s Time tracking software allows employees to clock in or out with just one click and all the data is compiled electronically and integrated with other software like Intuit Payroll

The punch clock advanced from a rudimentary stamping machine to a mobile app that effortlessly calculates hours worked and automates payroll for the corresponding hours worked. In doing so, the punch clock evolved from a purely HR machine to a machine that also helps workers become more efficient.

Modern time-tracking apps have various features that allow workers to interact better, engage management, ask for time off, take breaks and review their schedule/tasks. They evolved from serving management only to serving both management and employees.

In regards to other examples of HR tech, the key is whether the HR machine conducts “Automation”. If something helps automate a traditional HR process, it is HR tech. If it doesn't, it isn't HR tech.

Traditional workplace processes include, but are not limited to:

  • Job advertisements.
  • Job applications.
  • Benefits administration.
  • Scheduling.
  • Performance management.
  • Training.
  • Onboarding. 

Most HR tech today is software that specializes in automating one of the above HR processes. For example, Indeed automates job advertisements, Breezy automates job applications, VBA automates benefits administration, 7Shifts automates scheduling, Lattice automates performance management, Eloomi automates training and automates employment contracts.

However, it is not just standalone “HR tech” that is dominating automation for HR and employees alike. Companies that do not call themselves HR tech, yet still serve employees and employers alike are also revolutionizing the workplace. Consider Slack and Discord, which makes workplace communication a lot less tedious than email. And then consider Zoom, which does not classify itself as HR Tech yet somehow became the toast of HR tech.

All of this is to say that any app that automates engagement between workplace parties is HR tech. 

The future of HR Tech

The next leaders of HR tech will solve a problem common to all workplaces. Zoom ended “meeting culture” for everybody. What's the next disruption? Whatever it is, we think it will focus on everyday employee engagement; it will integrate with other apps that solve workplace problems (e.g. slack interaction); it will use smart technology to make recommendations (“nudge-tech”), and it will be used by both management and employees alike. 

goHeather

goHeather is a new HR tech platform we are excited about because it possesses the above features we are confident HR tech will promote in 2023 and beyond. 

goHeather automates employment contracts by making employment contract creation as easy as a few clicks. goHeather will:

  • Promote employment by making hiring easier and less risky;
  • Promote engagement by documenting employees' key information, and by giving employees a space to add to their key information and employers a space to access that key information faster;
  • Make employment contract creation foolproof by using pre-written templates and by including nudges to prompt users to the best inputs and by removing the ability to make any mistakes;
  • Take away hassle because it solves a problem that used to require several teams (lawyers, HR staff, operations, team managers) with just a few clicks; and 
  • It will integrate with all the big HR tech platforms.
  • It will promote diversity and inclusion by tracking and measuring EDI data.

We like the future of HR tech because it's becoming clear HR tech won't be used just by management to make life easier for management. Employees will make their lives easier with the future of HR tech too. Who among us could say they would go back to the age when Slack and Zoom didn't exist? This is the future of HR tech. 

About the author

Jeff is a lawyer in Toronto and he is a co-founder of goHeather. Jeff is a frequent lecturer on commercial and employment law and AI for law firms, and is the author of a commercial law textbook and various trade journal articles. Jeff is interested in business, technology and law.

By
Jeffrey D
Lawyer and Advocate

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