Reimagining Hourly Work: Insights from Legion’s 2025 Workforce Report

As labor costs rise and economic uncertainty continues, employers across North America are feeling the pressure to do more with less, without sacrificing service or employee experience. Legion’s newly released 2025 State of the North American Hourly Workforce Report delivers a timely and comprehensive look at how organizations can adapt by embracing intelligent workforce management.

Based on survey data from over 1,900 hourly employees and frontline managers, the report identifies the biggest challenges facing hourly work and the powerful solutions already within reach. The findings have drawn significant attention across the HR and retail ecosystems, with publications like HR Brew, TechRSeries, and HRTechCube amplifying their urgent message: smarter, AI-enabled workforce tools are no longer optional—they’re essential.

The Big Picture: A Frontline Workforce Under Strain

The report opens with a stark reality: nearly half of all hourly workers plan to leave their jobs within the next year, with 59% intending to leave their current industry. This churn is not just a staffing headache—it’s an operational liability. High turnover increases training costs, reduces productivity, and creates instability across teams.

Managers, too, are struggling. Up to 20 hours per week are lost to scheduling and time tracking, time that could be spent coaching teams or improving performance. Forty-nine percent of frontline managers worry about job security, driven by staffing gaps, rising expectations, and insufficient tools to meet demand.

In Chain Store Age’s coverage, the authors emphasize how this growing insecurity is reshaping the priorities of retail leaders, many of whom are calling for more automation and support to regain focus.

1. AI Adoption: A Clear Opportunity, Still Untapped

Despite enthusiasm for AI, adoption remains low. While 55% of managers believe AI could streamline scheduling, only 11% currently use AI-enabled tools. This disconnect between potential and reality keeps many organizations from major efficiency gains.

In HRTech Edge, the report is cited as a wake-up call: companies must move quickly to integrate AI into scheduling, forecasting, and staffing, especially as competition for talent heats up.

Similarly, B2B Daily points out that organizations leveraging AI for workforce optimization are already outperforming peers by minimizing coverage gaps, improving shift alignment, and reducing administrative burden on frontline leaders.

2. Smarter Scheduling: A Revenue Multiplier

One of the most compelling insights from the report is the call for performance-based scheduling. Eighty-six percent of managers want technology that automatically assigns top performers to high-impact shifts, and 84% are interested in calculating hourly productivity metrics. This is not just about operational efficiency—it’s a direct lever for revenue growth.

When the right people are placed in the right shifts, especially during peak periods, service quality improves and labor ROI increases. As TechRSeries explains, this targeted optimization helps businesses navigate inflationary pressures while maintaining workforce stability.

3. Flexibility First: The #1 Employee Priority

According to the report, 61% of hourly employees list flexibility as their top non-pay priority, surpassing benefits like training or recognition. Whether to support caregiving, education, or health concerns, workers are asking for more control over their schedules, and those needs are increasingly tied to retention.

In HR Brew’s analysis, this trend is described as a structural shift: flexibility is no longer a perk—it’s a baseline expectation.

4. Financial Strain Is Fueling Attrition—and Wage Access Helps

While not every employer can raise wages, they can ease financial strain with tools like earned wage access. The report shows a dramatic rise in demand: 31% of employees now rate early access to pay as one of the most valuable benefits, compared to just 2% two years ago.

For sectors like retail and hospitality, where financial pressure is especially acute, wage flexibility quickly becomes a competitive differentiator. Publications like HRTechCube underscore how wage access tools help reduce turnover by building trust and improving financial wellness.

A Smarter Path Forward

Legion’s 2025 report delivers an urgent and optimistic message: employers already have the tools to solve many of the challenges facing their hourly teams—they just need to use them. From AI-enabled scheduling to earned wage access and dynamic shift management, small, targeted improvements can make a big impact.

Explore the full report: Legion’s 2025 State of the North American Hourly Workforce.

Ready to see how Legion can help you maximize labor efficiency and employee engagement simultaneously? Schedule a demo today!