The boardroom is taking HR more seriously—and it’s showing up in the paychecks. According to Equilar’s 2025 HR Executive Pay Trends report, median total compensation for top HR executives across the Equilar 500 climbed 18% year over year, from $2.3 million in 2024 to $2.8 million in 2025.
The data, published with commentary from the HR Policy Association, underscores how the HR function has evolved into a strategic command center—bridging people, technology, and business transformation at a time when companies are reimagining how work gets done.
“This new era demands HR leaders who can think strategically across multiple dimensions,” said Ani Huang, President and CEO of the HR Policy Association’s Center On Executive Compensation. “That includes managing risk, identifying reskilling priorities, closing capability gaps, and reimagining total rewards for new ways of working.”
Pay Reflects Strategic Influence
The jump in pay reflects how organizations are valuing HR leadership amid AI-driven change, skills shortages, and cultural realignment. In large enterprises generating over $25 billion in annual revenue, median HR executive compensation reached $3.6 million, compared with $2.2 million at smaller firms.
Performance-based awards made up the largest share of pay—roughly one-third of total compensation—while stock options represented less than 10%. The communications services sector led all industries, posting a median package of $5.5 million, followed by technology and healthcare.
The Gender Divide Persists
While more women occupy top HR posts than men, the gender pay gap remains significant. Since 2021, the number of men in leading HR roles has doubled (from 13 to 26), while the number of women has grown by 19.5% (from 41 to 49). Yet, men’s median pay hit $3.8 million, outpacing women’s $2.9 million, a disparity largely driven by higher performance-based awards.
These findings hint at a deeper story within the profession: even in HR—the corporate function tasked with equity and inclusion—the compensation gap endures.
HR’s Next Evolution: From People to Performance
As organizations navigate the AI era, HR leaders are increasingly viewed as strategic stewards of capability, not just administrators of policy. Their remit now includes AI governance, workforce transformation, and talent analytics—areas directly tied to business outcomes.
Equilar’s data suggests that boards are rewarding that expanded scope with pay packages that mirror the C-suite’s most influential roles.
For HR executives, it’s both a recognition and a challenge: the future of work may depend on how well they can bridge human insight and machine intelligence.
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Business Wire, a Berkshire Hathaway company, is the global leader in press release distribution and regulatory disclosure. Public relations, investor relations, public policy and marketing professionals rely on Business Wire for secure and accurate distribution of market-moving news and multimedia. Founded in 1961, Business Wire is a trusted source for news organizations, journalists, investment professionals and regulatory authorities, delivering news directly into editorial systems and leading online news sources via its multi-patented NX network. Business Wire’s global newsrooms are available to meet the needs of communications professionals and news media worldwide.
