A New Deel Report Maps the Revolution: AI Is Reshaping the Rules of Human Resources
The field of Human Resources is undergoing a dramatic transformation, driven by artificial intelligence. But to grasp the scale of this shift, it’s important to understand where HR came from. For decades, HR was one of the most conservative functions in any organization - based on interpersonal communication, intuition, and accumulated human experience. Beyond that, it’s also one of the most localized fields: HR operations look completely different across countries. Laws, payroll regulations, benefits, professional practices, and even language vary greatly between Israel, the Netherlands, the U.S. - and sometimes even between cities
This complexity made the field less open to innovation and slower to keep pace with the digital evolution of recent years. That’s where AI enters the picture. Instead of replacing the human element, it provides a foundation capable of understanding, translating, and adapting HR processes to dozens of local contexts - bridging the gap between global scale and local compliance. For international companies managing distributed teams and diverse markets, AI is no longer a nice-to-have - it’s a basic operational requirement.
A recent report published by Deel sheds light on this transformation. Deel, which currently operates in over 150 countries and serves more than 35,000 companies worldwide, offers an end-to-end platform for managing both local and international workers - including contracts, payroll, regulatory compliance, benefits, IT equipment, and more. All of it is centralized in a single interface powered by data, automation, and artificial intelligence.
The report - based on field experience and real-time market data - examines how AI is already being integrated at nearly every stage of the HR lifecycle: from recruitment and onboarding to compensation, performance management, retention, and daily support. Deel itself reports a sharp rise in usage of AI features within its platform. According to research firm Gartner, as early as 2024, around 38% of HR departments worldwide had already implemented some form of AI integration - and forecasts suggest that number will double by 2026.
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The field of human resources is getting a facelift thanks to artificial intelligence
(Courtesy of Deel)
To understand how these trends are translated into practice, Deel has been implementing a series of large-scale initiatives. In summer 2025, the company launched more than 500 new features and upgrades across payroll, recruitment, and HR. Among them: on-demand pay (Anytime Pay), corporate cards available in over 130 countries, redesigned visual payslips and payroll dashboards, a built-in knowledge hub covering 150+ countries, and a unified support system.
On the AI front, the company introduced AI Workforce - a set of dedicated AI agents for HR and payroll tasks, built on the expertise of more than 2,000 local specialists across 150+ countries. These agents handle processes such as recruitment, leave management, payroll control, IT equipment, and offboarding protocols - and are measured by tasks completed, hours saved, and errors prevented. In parallel, Deel expanded its immigration offering with Business Visas, enabling scalable, compliant management of short-term business travel, while also securing its first independent immigration license in the UAE. Together, these moves illustrate how the AI revolution is expanding beyond efficiency - providing a holistic response to global mobility needs and the operational complexity of international teams.
For example, a recruiter looking to hire a developer in Colombia can now receive, with a single click, the total cost of employment, net salary after deductions, required local benefits - and a ready-to-use employment contract, fully compliant with local law and in the target language. A process that once took weeks of bureaucracy and legal coordination now takes just minutes.
One of the most common use cases is AI-powered candidate screening. Instead of manually reviewing hundreds of CVs, the system ranks candidates by objective fit to a predefined profile, flagging red flags or highlighting unique strengths. Employee experience is also enhanced: chatbot interfaces now answer real-time questions like “How many vacation days do I have left?” or “What’s the status of my payroll request?”- saving frustration, wait times, and HR resources.
But according to Deel, the real value of AI lies not just in efficiency - but in prediction. These systems can detect patterns such as declining engagement, performance gaps between teams, or high flight risk - and suggest proactive steps. In one case described in the report, Deel’s platform detected a steady drop in satisfaction metrics in a tech company’s customer service team - allowing managers to intervene early and prevent a wave of departures.
Alongside these benefits, Deel also highlights the ethical concerns: could such systems perpetuate bias? Do they infringe on employee privacy? According to the company, AI tools are strictly decision-support systems - not replacements for human judgment. Employees have visibility into what data is collected, how it’s stored, and who can access it. The system adheres to strict privacy standards, including Europe’s GDPR, and supports fine-grained permission controls by role.
Another major advantage is structural flexibility: companies aren’t required to overhaul their entire HR stack. Deel’s platform is modular, allowing organizations to use only the tools they need. AI features can be white-labeled and integrated seamlessly - without signaling a visible shift to internal teams or candidates. According to the guide, this is especially valued by legacy organizations and those operating in sensitive or conservative industries.
Still, the main challenge, Deel emphasizes, isn’t technological - it’s cultural. For AI-based systems to truly support human capital, they require openness from employees, mindset shifts from managers, and, above all, thoughtful implementation. “Technology is just the tool,” the report states. “The real difference lies in how you use it.”
The shift to data-driven HR is no longer just about innovation - it’s about operational survival. In a world where global teams operate across 15 time zones, payroll systems must recognize regulations in over 100 countries, and employees expect full transparency - AI isn’t an advantage. It’s the foundation. Deel’s own numbers underscore this demand: 75% year-over-year revenue growth, double-digit operating margins, and a 164% jump in HR and payroll solutions.
The report’s bottom line is clear: AI doesn’t replace people. It replaces paperwork, forms, regulatory overhead, and time scarcity. Humanity, trust, and complex decision-making - it leaves to us.
