TriNet Releases 2025 State of the Workplace Report Highlighting AI and Flexibility Trends

TriNet has released its 2025 State of the Workplace report, announced in a press release. The annual survey captures insights from more than 1,000 respondents across U.S. small and medium-sized businesses, examining areas such as employee engagement, AI adoption, workplace flexibility, and benefits preferences.

The report found that 47% of employers believe their employees are highly engaged, up from 37% in 2024, while only about one-third of Gen Z employees describe themselves as extremely engaged. Employers now favor three days in the office per week as the ideal hybrid model, though only 14% of employees agree. A skills readiness gap is also widening—46% of employers say workers have the necessary skills, compared to 49% of employees, down from 59% the previous year.

AI use has become widespread among small businesses, with 94% of employers and 84% of employees reporting they have used AI at work. Two-thirds of employees regularly use AI for HR-related tasks, though both groups show reduced reliance on AI in areas like offboarding and training, where human interaction remains important.

Benefits priorities also shifted. Mental health coverage increased in importance, with 37% of employers calling it extremely important. Fertility coverage and childcare assistance gained more support from both employers and employees, while employee discounts saw rising value across the board. The full report includes year-over-year comparisons and generational insights for HR leaders and executives.