The HR Problems You Don’t Want to Carry Into 2027
By the end of October, many businesses are already looking ahead.
Budgets are taking shape.
2027 goals are being discussed.
Hiring needs are being considered.
Leaders are thinking about what they want to accomplish next year.
But before you start building the next chapter, there's an important question to ask:
What are you carrying into 2027 that should have been addressed in 2026?
Maybe it's a performance issue everyone has been avoiding.
Maybe it's an outdated policy.
Maybe your managers need more support.
Maybe your organizational structure no longer fits the business.
Maybe you know your HR processes aren't working but they've been "good enough" to get by.
A new calendar year doesn't automatically create a fresh start.
Sometimes you have to clean up what's unfinished first.
1. The Performance Problem You've Been "Monitoring"
There's a difference between giving an employee time to improve and indefinitely avoiding a performance issue.
If managers have been saying:
"We're keeping an eye on it."
for six months, it's probably time for a conversation.
Before year-end, identify unresolved performance concerns and ask:
Has the employee received clear feedback?
Were specific expectations communicated?
Has the manager documented the issue?
Was appropriate support provided?
Has there been meaningful improvement?
What is the next step?
Don't enter 2027 hoping a problem will magically resolve itself.
Clarity is better than avoidance for both the manager and the employee.
2. The Manager Who Needs Development
Managers have an enormous influence on the employee experience.
Yet many businesses promote strong individual contributors into leadership and expect them to figure out management on their own.
Look at your leadership team.
Where are managers struggling?
Maybe it's:
Giving feedback
Delegating
Holding employees accountable
Managing conflict
Communicating expectations
Coaching performance
Leading through change
Prioritizing their workload
Don't make "leadership development" a vague 2027 goal.
Identify the specific capabilities your managers need and build a plan to develop them.
3. The Job Nobody Can Clearly Explain
If three people describe the same role three different ways, you have a problem.
Roles naturally evolve as companies grow.
But when responsibilities change without updating expectations, you can end up with:
Overlapping responsibilities
Work falling through the cracks
Employee frustration
Compensation inconsistencies
Classification questions
Accountability problems
Before approving new positions for 2027, review the roles you already have.
You may discover that your first need isn't another hire.
It's greater clarity.
4. The Policy Everyone Handles Differently
One manager allows it.
Another doesn't.
One employee received an exception.
Another was told the policy was non-negotiable.
Inconsistent practices can create employee frustration and unnecessary risk.
Look for areas where managers frequently ask:
"What do we normally do here?"
That's often a clue that a policy, process, or leadership expectation needs clarification.
Consistency doesn't mean every employee situation has an identical outcome.
It means your organization has a thoughtful framework for making decisions.
5. The Employee Files That Still Need Attention
Remember that fall HR cleanup?
If you identified gaps, don't let them quietly migrate into another year.
Check whether you still have missing or incomplete:
Job descriptions
Offer letters
Policy acknowledgments
Performance documentation
Compensation records
Employment-related forms
Leave documentation
You don't need perfect files filled with unnecessary paperwork.
You need organized records that support the employment decisions your business is making.
6. The Culture Issue Everyone Knows About
October's culture reality check asked an important question:
What behavior are we tolerating that we know we shouldn't be?
Carry that question into year-end planning.
Maybe there's a high performer who consistently creates conflict.
Maybe employees don't trust one particular manager.
Maybe teams aren't collaborating.
Maybe communication has become a recurring complaint.
Maybe accountability looks different depending on who you are.
Culture issues rarely disappear because the calendar changes.
If anything, tolerated behaviors become more embedded over time.
Decide what needs to change and make leadership responsible for changing it.
7. The Hiring Plan That Doesn't Exist Yet
Are you planning to grow in 2027?
Don't wait until someone says:
"We need this person immediately."
Start identifying potential hiring needs now.
Ask:
What roles will growth require?
When will we realistically need them?
What will they cost?
Who will manage them?
Do we have the leadership capacity to support them?
Could responsibilities be restructured instead?
How long might recruiting take?
Hiring becomes much more strategic when it isn't an emergency.
8. The Compensation Questions You've Been Avoiding
Employees don't need to know what every coworker earns.
But leaders should understand how compensation decisions are made.
Before 2027, consider:
Are similar roles paid consistently?
Are job responsibilities aligned with compensation?
Are there employees significantly below or above the expected range?
How are increases determined?
How will promotions affect pay?
What can the organization realistically budget?
Compensation decisions made one employee at a time without a broader strategy can create bigger problems as a business grows.
9. The HR Process That Still Lives in Someone's Head
This one is common in small businesses.
One person knows how onboarding works.
One manager knows where the forms are.
Someone in accounting knows what happens when an employee leaves.
The owner knows the "real" PTO rules.
That works until the person who knows the process is unavailable or leaves.
Identify critical HR processes that rely too heavily on institutional knowledge.
Document them.
Simplify them.
Create ownership.
A growing company needs systems that don't depend entirely on one person's memory.
10. The HR Risk You Haven't Looked For Yet
Sometimes the biggest gaps aren't the ones keeping you awake at night.
They're the ones you don't know exist.
That's why year-end is a good time to take a broader look at your HR foundation.
Review areas such as:
✔ Employee classifications
✔ Policies and handbook practices
✔ Employee files
✔ Hiring and onboarding
✔ Compensation practices
✔ Performance management
✔ Leave administration
✔ Manager practices
✔ Workplace complaints
✔ Termination processes
✔ Leadership development
✔ Organizational structure
The goal isn't to search for reasons to panic.
It's to understand where your organization is strong, where gaps exist, and what should be prioritized.
You Don't Have to Fix Everything Before January
This is important.
A year-end review doesn't mean every HR issue needs to be completely solved by December 31.
Instead, sort what you find into three categories:
Fix Now
Issues creating immediate risk or significantly affecting employees or the business.
Plan for 2027
Important improvements that require time, budget, or leadership involvement.
Monitor
Areas that aren't currently significant problems but should remain on your radar.
Suddenly, a long list of HR concerns becomes a manageable plan.
Make HR Part of Business Planning
HR planning shouldn't happen after leadership finishes the business plan.
Your people are how the plan gets executed.
If you're planning growth, you'll need the right roles.
If you're expanding, you'll need leadership capacity.
If you're changing operations, employees will need communication and training.
If you're increasing revenue targets, you'll need to understand whether your current team has the capacity to deliver.
Your people strategy and your business strategy should be connected.
Your Pre-2027 HR Reality Check
Before November planning gets into full swing, ask:
✔ What employee issues are still unresolved?
✔ Where do our managers need more support?
✔ Are roles and responsibilities clear?
✔ Are our policies being applied consistently?
✔ Are employee records organized?
✔ What culture concerns need attention?
✔ What positions will we need next year?
✔ Is our compensation approach sustainable?
✔ Which HR processes need better systems?
✔ What HR risks or gaps haven't we reviewed recently?
You don't need all the answers today.
But you should know which questions need answers.
A new year can create momentum.
But January 1 doesn't erase unresolved problems.
If you want 2027 to be a stronger year, don't only ask:
"What should we start doing?"
Also ask:
"What do we need to stop carrying?"
The performance issue.
The unclear role.
The inconsistent process.
The leadership gap.
The outdated documentation.
Addressing those issues creates space to build something stronger.
People Solutions Hub helps growing businesses evaluate their HR foundation, identify risks and opportunities, and create practical people strategies aligned with where the business is going.
Before you build your 2027 people strategy, make sure you understand what you're building from.
Don't carry avoidable HR problems into another year. Turn them into a plan.
Contact People Solutions Hub to learn more or schedule a conversation.
About People Solutions Hub
People Solutions Hub was founded by Nicki Leritz, an HR leader committed to giving small and mid-sized businesses clear, practical, and compliant people operations. After years of watching employers struggle with shifting laws, confusing deadlines, and inconsistent HR support, Nicki built PSH to bridge the gap between what teams need and what real-world businesses can actually manage. Today, our team helps Minnesota employers navigate everything from PFML compliance, employee handbooks, and HR audits to pay transparency, wage notices,
and leave management.
We believe HR shouldn’t feel overwhelming, it should feel supportive and built for long-term stability.
At People Solutions Hub, we partner with business owners, managers, and growing teams to simplify compliance, strengthen workplace culture, and build people systems that actually work.
📩 Reach out at info@peoplesolutionshub.co
🌐 Visit www.peoplesolutionshub.co
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