The Invisible Wall – Why HR Stays at the Operational Level

This month's newsletter focuses on the invisible wall that stops most organisations from becoming data-driven. Also: Workday launches globally on Swedish Sana Labs, new research on how AI redistributes jobs from young to experienced workers in Sweden, updates on the Pay Transparency Directive and the EU AI Act and more.

Welcome to newsletter no. 3 – 2026

This month's theme is HR tech maturity and the invisible wall that stops most organisations from moving from operational to data-driven. The column is based on my keynote at HR Tech in Oslo, where nearly 300 participants placed their organisations on the maturity scale – with clear results.

Beyond that, it's a busy month. Workday launches its AI platform globally, built on Swedish Sana Labs – a platform shift that will change how HR systems look going forward. Tietoevry sells Primula to Danish EG, new research shows how AI is redistributing jobs from young to experienced workers in Sweden, and Gallup reports employee engagement at a ten-year low in the US. We also look at what's happening with the Pay Transparency Directive and the EU AI Act – both with direct consequences for Swedish HR leaders.

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This edition includes:

  • Monthly column
  • Event I recommend
  • Notes from the HR Tech industry 💡

The Invisible Wall – Why We Stay at the Operational Level

Last week I was the opening speaker at HR Tech 2026 in Oslo. I used my maturity model with five levels and asked nearly 300 participants to place their organisation on the scale.

Only 9% of Nordic organisations have full integration between their HR systems. Looking at integration between HR data and business systems, that figure drops to 4%. Only 23% have a defined HR Tech strategy – compared to 47% in the rest of Europe.

I call it the Nordic paradox: we have the infrastructure and the competence, but we don't use it strategically.

The invisible wall

There is a wall between the operational and the data-mature level. It's invisible, but very real.

At the operational level, things work. Systems are in place, processes are stable, managers are satisfied, HR is no longer firefighting. If you've come from a lower level, it feels like you've arrived.

And that feeling is exactly the problem. You no longer have a burning problem to solve for HR. You have to actively choose to move forward – without anything forcing you.

What's on the other side

At the data-mature level, something crucial happens: HR data connects to business data. You can ask questions that cross the boundaries between HR, finance and operations. Data stops being an HR asset and becomes something the entire organisation uses.

Analytics changes too. At the operational level, you report what has happened. At the data-mature level, you become predictive – turnover risk before anyone hands in their notice, salary analysis that actually drives decisions.

But the most important shift? HR is not just invited to the table – HR is needed there. Because HR contributes insights that combine people data and business data in ways that change decisions.

Why so few make it past

I see the same patterns again and again:

Leadership – Management needs to start seeing people data as a strategic asset, not something HR produces but something the business uses to make decisions.

Funding logic – Most organisations fund projects. The data-mature level requires funding a holistic view, a long-term commitment.

HR's own competence – The data-mature level requires data literacy, AI awareness and the ability to translate between what HR knows and what the business needs.

What can you do?

Stop looking for the right system. Organisations stuck at the operational level often believe the answer is a new platform. But the bigger blockers are almost always about culture, leadership and investment logic – not technology.

Start the conversation with leadership about data, not about HR Tech. Which business decisions would improve if you could combine people data with financial data? That framing lands differently than a request for a new tool.

And above all: don't wait. The organisations that make it past the wall are already building the foundations while they are still at the operational level. They don't wait for permission.

Want to understand more about what's on the other side of the wall and what it takes to get there? Listen to my latest podcast episode: "The invisible wall: HR tech maturity stops at 'Operational'" from The HR Digi Podcast

Anna moderating a discussion with Spotify & Fiskars at HR Tech 2025

✨ Event I recommend

This month I want to highlight HR Tech Europe in Amsterdam, 22–23 April.

HR Tech Europe grows every year – and 2026 is no exception. More speakers, more attendees and a new format I really like: HR Tech Intensives: smaller groups with a shared focus, where you deepen your learning and compare perspectives with peers throughout the event. Places are limited and allocated on a first-come, first-served basis.

Also new this year is Pitchfest – where innovators present their latest solutions live on stage.

If you work as an HR practitioner, attendance is free. Among those already signed up are people from H&M, Amazon, Google, Microsoft, LEGO Group, Maersk, ING, Deloitte, Coca-Cola HBC – to name a few.

I'll be there again this year – moderating the session "The Agents Have Arrived: How HR Can Shape the New Age of Work" and running my own Ask the Experts session on closing the gap between HR tech and actual adoption.

➡️ Link to the event

Noted in the HR Tech industry 💡

Swedish Sana changes how Workday works – now launched globally

On 17 March, Workday launched its new AI platform built on the acquisition of Swedish Sana Labs. The previous "Illuminate" brand is replaced and introduces three components: Sana for Workday as the new standard interface (conversational rather than a traditional dashboard), Sana Self-Service Agent with 300+ pre-built automation capabilities, and Sana Enterprise for integration with external systems such as Salesforce, Teams and Slack.

Josh Bersin describes it as a direct competitive move against Microsoft Viva and ServiceNow. This is not a product update – it is a platform shift. For Workday customers, it means the interface they have worked in for years will soon look very different. And for everyone else in the market, it raises the bar for what a modern HR platform is expected to deliver.

👉 https://joshbersin.com/2026/03/workday-and-sana-unveil-a-bold-new-strategy-for-ai/

Tietoevry sells Primula and eCompanion to Danish EG

Tietoevry has sold its HR and payroll software – including Primula and eCompanion – to Danish EG for 710 million Danish kroner. EG is a Nordic software group specialising in business-critical systems for the public sector, with municipalities and government agencies as its core customers across the Nordics. Primula is one of Sweden's most widely used payroll systems in the public sector and is part of the core infrastructure of thousands of municipalities and agencies.

For Swedish HR buyers, it is worth monitoring what the change of ownership means going forward – a new owner can accelerate product development but typically also brings changes to support, pricing and roadmap.

👉 https://www.tietoevry.com/en/newsroom/all-news-and-releases/press-releases/2026/02/tieto-to-sell-two-software-businesses-from-tieto-indtech-to-eg/

Research: AI redistributes jobs from young to older workers in Sweden

A study by Swedish researchers, published as a debate article in Dagens Nyheter, shows for the first time with data how AI is affecting the Swedish labour market at the occupational level. Employment among young people (22–25) in AI-exposed occupations has declined by 5.5%, while employment among those over 50 has increased by 1%. AI is not primarily eliminating jobs – it is redistributing them to more experienced workers. The employer organisation Almega followed up with its own debate piece calling for targeted measures.

It is a reminder that how we organise ourselves going forward – and who we recruit – matters more than we might think or want to acknowledge. It changes the playing field for recruiting junior talent, for succession planning and for how we think about generational diversity in organisations. Expect this research to start appearing in more strategy discussions going forward.

👉 https://www.dn.se/debatt/ja-ai-hotar-ungas-jobb-men-inte-som-vi-trott/

Fosway: AI is now a hygiene factor – not a selling point

Fosway Group, Europe's leading HR analyst, released three major reports on learning technology in March – including the highly anticipated 9-Grid™ reports for learning platforms (LMS/LXP) and digital learning. The message from CEO David Wilson is clear: AI is no longer a differentiator among vendors, it is a baseline expectation. And LXP as a distinct category is disappearing in favour of more holistic "learning experiences". The third report, AI Insights 2026, specifically examines how vendors' AI capabilities actually hold up – and concludes that AI reality still lags behind the marketing.

The most concerning finding: fewer than 40% of L&D professionals consider their current platform fit for purpose, and 66% are disappointed by the lack of AI innovation in their system. Integrated HR suite L&D modules perform worst of all, with only 20% satisfaction. That is a signal to anyone leaning on "we already have learning in our HR system."

👉 https://www.fosway.com/9-grid-2/learning-systems/

👉 https://www.fosway.com/fosway-ai-insights-learning-systems/

AI bias in court – the legal landscape is shifting and employers are liable

Two high-profile lawsuits in the US target Workday and Eightfold AI – for systematic discrimination and unauthorised data collection on candidates respectively. What is most relevant for us in the Nordics is not the cases themselves, but the logic of liability: in a third case, the employer was sued directly – not the AI vendor. That is precisely the principle that the EU AI Act is built on. It is not enough to trust that the vendor's system is unbiased. The responsibility for being able to defend an AI-driven selection decision rests with the organisation that makes it.

👉 https://hrexecutive.com/as-eightfold-workday-suits-show-ai-legal-risks-are-building-for-hr/

Deloitte 2026 Global Human Capital Trends: invest in the human

Based on 9,000 global leaders, Deloitte's annual report confirms a critical shift: companies with a human-centred AI strategy are 1.6 times more likely to achieve expected ROI, compared to those with a purely technology-focused approach. Yet 59% of leaders say they primarily view AI as a technology project. The report introduces the concept of "cultural debt" – the erosion of trust and cohesion that occurs when AI-driven change moves faster than the organisation can absorb – and identifies "disinformation security" as a new challenge that HR needs to own.

So clear on so many levels. Technology is not the obstacle. And yet we treat it as if it were.

👉 https://www.deloitte.com/us/en/insights/topics/talent/human-capital-trends.html

Gallup: Employee engagement at a ten-year low in the US

Gallup reports that engagement in the US has fallen to 31% – the lowest in a decade. The global report "State of the Global Workplace 2026" is expected in April–May, and then we will see whether the trend holds internationally.

👉 https://www.gallup.com/workplace/703280/worker-thriving-declines-job-market-pessimism-grows.aspx

Shadow AI: 57% hide their AI usage – a global trend

A survey shows that 57% of employees hide their AI usage at work, and 63% of companies lack an AI governance framework. Employees are making their working lives more efficient with tools no one has approved, while sensitive data flows through consumer services without IT oversight. The solution is not to shut it down – but to create psychological safety where employees can talk openly about how they work without fear of punishment. At its core, this is an HR issue, not an IT issue.

👉 https://www.withum.ai/resources/the-shadow-ai-problem-why-57-of-employees-hide-their-ai-usage-at-work/

Sweden puts the brakes on the Pay Transparency Directive – wants to renegotiate at EU level

Yesterday the Swedish government announced that it does not intend to submit a bill to parliament on the Pay Transparency Directive. Instead, Sweden wants to push for a postponement of the implementation deadline and a renegotiation of the directive at EU level. The reason is that the directive is considered too administratively burdensome and poorly adapted to the Swedish model of pay equity mapping.

This means Swedish employers will likely have until 1 January 2027 – or later – before the rules come into force. But as the government itself notes: the preparations you have already made are not wasted. The requirements are coming, they will just take a little longer.

Other EU countries are pressing ahead. Denmark sent its draft legislation out for consultation in March. For multinational organisations with operations in multiple countries, it is important to keep track of what applies where.

👉 https://www.regeringen.se/pressmeddelanden/2026/03/regeringen-vill-omforhandla-lonetransparensdirektivet/

EU AI Act: Rules on AI in recruitment postponed to December 2027

The European Parliament's committee voted in March to postpone the strictest requirements in the AI Act – including those regulating AI in employment and recruitment decisions – to 2 December 2027. The plenary vote was expected today. Employers and HR tech vendors in the EU therefore have more time to prepare.

But the postponement is not a signal that the problem is going away. The ongoing lawsuits in the US against Workday and Eightfold show that the legal scrutiny of AI in HR continues regardless of the legislative timetable. Taking this issue seriously now – not in December 2027 – is a choice every HR leader should make actively.

👉 https://www.europarl.europa.eu/news/de/press-room/20260316IPR38219/meps-support-postponement-of-certain-rules-on-artificial-intelligence

Swedish Quinyx named Leader in IDC MarketScape EMEA 2026

Quinyx has been named a "Leader" in IDC MarketScape's report for Workforce Management in the EMEA region 2026 – the most established independent analyst ranking in the category. It is a clear recognition that the Swedish company is no longer competing only on home turf but is now regarded as a European top player alongside significantly larger global competitors.

It is rare for a Nordic vendor to reach leader position in a global IDC report. Congratulations!

👉 https://www.quinyx.com/blog/quinyx-named-leader-idc-marketscape-emea-2026

About the newsletter

The goal of the newsletter is to write about news in the HR Tech market and the areas of digitalization, AI, and innovation for management and HR.

About me, the author

My name is Anna Carlsson and I'm a strategic advisor and HR Tech analyst. I help HR and management make wise decisions in HR Tech, AI, and digitalization – through strategies that are clear, sustainable over time, and implementable. Assignments can be anything from one hour of consultation to longer projects where I follow you all the way from the current situation to results.

I run HR Digi, which supports HR practitioners and HR Tech companies to navigate, understand, and lead in a digital age. And it's not always a big change that's needed – sometimes it's enough to clarify, prioritize, and communicate strategically to achieve success.

Read more at hrdigi.se or Book a digital coffee with me.

Also a proud member of the group Top 100 HR Tech Influencers globally 2024 & 2025 🙏