The 2025 HR Pulse Survey, a collaboration between PwC Malta and the Foundation for Human Resources Development (FHRD), investigated current HR challenges and aspirations of local organisations. The survey was completed by over 100 participants representing a wide range of sectors from the local HR community. In its eleventh edition, the survey focussed on the evolving role of HR in empowering people and shaping organisational success. It further examined workforce priorities including talent attraction and retention, organisational culture, leadership effectiveness, employee well-being, succession planning, and the use of HR data for decision making.
Talent issues remain at the top of the HR agenda. The main concerns identified were availability of skills to drive growth (53%), difficulty in attracting the right talent (53%), and employee retention (43%). These challenges highlight the strong competition for talent in Malta and the pressure to build the right capabilities for future growth. When asked what drives long-term success, respondents emphasised a shared sense of purpose and values (53%), empowering employees with autonomy and trust (49%), and a focus on continuous learning and development (34%). However, challenges to workplace belonging were also evident, with unclear or fragmented culture (68%) and insufficient shared experiences (58%), and the pressure to always be available or responsive (58%) seen as the most significant barriers.
Respondents identified continuous listening and employee voice mechanisms (59%) as the most transformative HR practices, followed by flexible career pathways (51%), and integrated well-being and performance strategies (50%). These findings reflect a stronger emphasis on aligning organisational goals with employee needs. On leadership, 66% of participants identified leadership and management development programmes as the most effective way to amplify team potential, followed by feedback and reflection in leadership routines (38%) and peer mentoring and knowledge sharing (37%) also being valued. The main reasons for challenges in maintaining high-performing employees were poor management practices (57%), lack of clear direction or vision (46%), and limited career growth (33%), reinforcing the central role of leadership capability in driving engagement.
Employee well-being continues to be a strategic priority. Employee Assistance Programmes (68%), together with coaching and well-being policies (46%), were seen as the most effective enablers. According to participants, the main areas organisations should prioritise to strengthen well-being and embed a well-being-first culture are communication and transparency (62%), psychological safety (58%), and a stronger feedback culture (40%). During periods of organisational change, the approaches seen as most effective were transparent communication about change rationale and impact (73%), training managers to facilitate dialogue (58%), and involving employees in decision-making processes (55%). These findings underline the importance of openness, trust, and participation in supporting successful transitions.
Succession planning remains underdeveloped. One in three organisations (33%) reported having no plan in place, and only 31% have a plan covering key roles across different grades. A further 12% reported having a plan for senior leadership roles only. In terms of HR data, most organisations make regular use of turnover and retention rates (63%), absence and leave data (54%), and performance management data (51%). However, more advanced measures remain less common, with training and development metrics (25%), Employee Net Promoter Score (28%), predictive analytics (8%) and DEI metrics (5%) among the least used. The main challenges preventing wider adoption were insufficient resources (60%), low data literacy within HR teams (34%) and concerns about data quality and accessibility (33%).