How Trump’s 2024 Election Win Could Reshape People Management in U.S. Companies

How Trump’s 2024 Election Win Could Reshape People Management in U.S. Companies

Summary

• Tightened immigration policies could reduce the available talent pool, especially in tech and agriculture sectors.
• Increased deregulation may impact compliance requirements in workforce safety and discrimination standards.
• Industry shifts toward traditional energy sectors could reshape hiring demands and skill requirements in specific industries.

With Donald Trump’s election victory in 2024, businesses are anticipating shifts in policies that may bring significant changes to people management practices. Known for his strong stances on immigration and regulatory rollbacks, Trump’s return to the White House could affect workforce dynamics, hiring strategies, and organizational cultures across the U.S. From restructured immigration policies to modified industry incentives, this article explores how companies may need to adapt to a changing business environment.

Key Policy Shifts to Expect in Trump’s 2024 Presidency

Stricter Immigration Policies and Their Impact on Hiring

Trump’s immigration stance during his previous term led to restrictions on visas and tightened regulations, affecting tech companies and agriculture sectors heavily reliant on foreign talent. His administration could again impose similar limitations on H-1B visas, the program widely used by tech firms to hire skilled international talent. In 2019, 70% of H-1B visas were allocated to Indian nationals, primarily in tech roles, showing the crucial role immigration plays in the sector​.

A reduction in visa availability could lead to a talent shortage, requiring companies to:

• Increase focus on automation for roles traditionally filled by immigrant labor.
• Strengthen internal training programs to reskill current employees for tech-intensive roles.
• Explore remote talent in overseas locations to maintain a competitive edge.

Regulatory Rollbacks and Compliance Adjustments

Trump’s approach to business regulation emphasizes deregulation, aiming to reduce operational costs for companies by easing compliance requirements. Key areas impacted may include workforce safety and anti-discrimination laws. Under his administration, companies may experience less pressure to adopt stringent diversity programs or extensive employee protections, potentially reducing administrative burdens but also raising concerns over workplace equity.

Example: During Trump’s previous term, the Occupational Safety and Health Administration (OSHA) saw a decrease in safety inspections by approximately 4%, as reported by the AFL-CIO. This regulatory easing led to mixed outcomes, where some companies saved on compliance costs, while others faced criticism over workplace safety standards​.

​Businesses may need to find a balance by:

• Maintaining internal safety and discrimination policies to attract and retain a diverse workforce.
• Investing in workplace culture initiatives to fill any gaps left by relaxed federal oversight.
• Monitoring state-level regulations, as some states may impose their own standards in response to federal rollbacks.

Shifting Industry Incentives: Traditional Energy vs. Renewables

Trump has expressed clear support for fossil fuels over renewable energy. This stance may influence federal funding and incentives, favoring traditional energy industries over the green tech sector. The Inflation Reduction Act (IRA) and CHIPS Act, which catalyzed investments in renewable energy and semiconductor manufacturing, may face funding reductions under Trump’s administration. In 2023, these acts prompted nearly $500 billion in private investments across states, many of which are key to the green economy​.

As funding priorities shift, companies could see:

• Increased job opportunities in traditional energy sectors such as oil and gas, especially in states reliant on these industries.
• A slowdown in renewable energy hiring, affecting sectors like solar and wind energy production, which may see decreased federal support.
• New training needs for employees transitioning between green and traditional energy industries.

Industry Data and Insights

• Immigration Influence: Approximately 25% of the U.S. tech workforce is foreign-born, showing the critical role of immigrant labor in maintaining industry competitiveness (source: National Foundation for American Policy).
• Regulatory Compliance Costs: The 2020 deregulation in labor protections saved businesses an estimated $8 billion in compliance costs, underscoring the financial impact of regulatory changes (source: American Action Forum).
• IRA and CHIPS Act Influence: Since their inception, these policies generated roughly $500 billion in clean energy investments, creating approximately 100,000 jobs, particularly in tech and manufacturing (source: U.S. Department of Energy).

Navigating the Future: Actionable Steps for HR and People Managers

1. Revisit Talent Acquisition Strategies

Companies facing a reduced talent pool due to immigration restrictions may consider diversifying their recruitment efforts:

• Expanding partnerships with universities for talent pipelines.
• Investing in apprenticeships and internal training to upskill current employees.
• Leveraging remote talent and outsourcing to address skill gaps without relocation challenges.

2. Strengthen Internal Policies for Workforce Protection

In a deregulated environment, companies have an opportunity to enhance employee experience by:

• Implementing robust anti-discrimination measures to attract diverse talent.
• Prioritizing workplace safety independently of federal mandates.
• Engaging employees in culture-building activities to foster a safe and inclusive environment.

3. Monitor Industry Shifts for Future-Proof Workforce Planning

With increased focus on traditional energy, companies should:

• Equip employees with cross-industry skills, particularly in regions affected by changes in federal energy policies.
• Consider partnerships with training providers to reskill employees for emerging opportunities in both green and traditional energy sectors.

Conclusion

Trump’s 2024 election victory may reshape the U.S. people management landscape by introducing stricter immigration policies, relaxed federal regulations, and redirected industry incentives. While these shifts present challenges, they also offer opportunities for companies to adapt their hiring, compliance, and training practices to stay competitive. By proactively addressing these policy changes, people managers can help their organizations navigate a complex regulatory environment while fostering a resilient and diverse workforce.