Strategy Creation and Deployment Vex Some HR Pros. How Do We Fix This?

In WorldatWork’s 2026 State of Rewards Report, developed in partnership with the Human Resources Certification Institute (HRCI), the findings were indisputable. The linkage between employee satisfaction and compensation and benefits is strong. Pay ranks high (70%) as a top decision-driver, with benefits not far behind. While it is apparent that what attracts talent isn’t always what retains it, the message is clear: Compensation and benefits remain the backbone of a successful employer-employee relationship.

“Motivation by purpose” was an explicit theme in HRCI’s 2026 State of HR research report. HR professionals consistently step up, fulfilling their primary job responsibilities, pitching in when needed across the organization and investing in their own career development. Despite their readiness to tackle both the expected and unexpected, our research uncovered an uncomfortable area for them. A considerable percentage of responding HR professionals (39%) said they felt underprepared to develop effective compensation and benefits strategies.

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This wasn’t the highest-ranking vulnerability. Implementing HR technology was named by 52% of respondents. And when you consider the speed at which total rewards (TR) and technology are changing, it feels like the perfect storm. A recent report by consulting firm Mercer cited that 72% of companies are investing in automation and 47% are investing in artificial intelligence (AI) to improve the effectiveness of functions such as HR and TR. The same research acknowledged that 30% of companies still use Excel to manage market data and compensation analysis. HR’s top-ranking vulnerability, as validated in HRCI’s research, aligns with its second-ranking vulnerability in one of the most crucial parts of the employee journey.

When the technology designed to simplify compensation and benefits decisions is itself a source of anxiety, the challenge comes into sharper focus. Technology that simplifies and streamlines these programs should be table stakes. Yet for too many HR professionals, this is out of reach. HR teams are already stretched thin and asked to do more with less. Knowing what technologies to use and how to deploy them effectively remains a real challenge. While some organizations have dedicated resources for pay equity, job architecture and the annual compensation process, these functions often fall to HR generalists who are already overextended.

And, where does a reliable source of truth reside? For many organizations, the answer is complicated. Data lives across engagement surveys, benchmarking tools, performance systems and other platforms, with no single source tying it all together. Without that clarity, deciding what to prioritize becomes its own challenge. It’s a classic chicken-and-egg situation: Employees are drawn to an organization by pay and benefits, and while other factors influence retention, this is the thread that holds the relationship together.

There’s no doubt that we need to make it easier for HR professionals to develop TR plans that support their organization’s talent and business objectives. And though technology will help close the gaps and accelerate success, it’s not that simple. HR can’t solve this alone, nor should it have to. When leadership, finance and department heads are aligned around a shared TR strategy, and technology is chosen to support that strategy rather than drive it, HR professionals are far better positioned to deliver the comp and benefits programs that attract and retain the talent organizations need.

HR professionals are resilient, resourceful and deeply committed to solving this. And with the right collaboration and technology in place, we as a community can accelerate that success together.

Editor’s Note: Additional Content

For more information and resources related to this article, see the pages below, which offer quick access to all WorldatWork content on these topics:

• Career Growth
• Employee Benefits
• Employee Compensation
• Total Rewards