Lattice Semiconductor's HR Report: Shifting Focus on Performance and Engagement in 2026
- Lattice Semiconductor's report shows 40% of HR teams prioritize performance management, reflecting current organizational challenges.
- The emphasis on Diversity, Equity, Inclusion, and Belonging dropped to 16%, indicating competing HR priorities.
- CEO Sarah Franklin highlights the need for balancing employee performance with engagement for long-term organizational success.
Evolving HR Priorities: Insights from Lattice Semiconductor's Annual Report
Lattice Semiconductor recently releases its annual "State of People Strategy Report 2026," which captures shifting priorities within Human Resources (HR) based on a survey of 1,002 HR leaders and managers globally. The report highlights a significant pivot in focus areas, with performance management now topping the list for 40% of HR teams, closely followed by employee engagement at 39%. This shift reflects the current challenges organizations face in balancing the need for high performance alongside maintaining a motivated workforce, particularly in an environment marked by tighter budgets and fluctuating strategic objectives. Such insights are crucial for organizations looking to enhance their HR strategies in a rapidly evolving business landscape.
One notable trend within the report is the worrying decline in the emphasis on Diversity, Equity, Inclusion, and Belonging (DEIB), which has dropped to just 16% in 2026 from a peak of 30% in 2023. This statistic underscores a critical concern for HR departments as they navigate competing priorities. Interestingly, regional differences arise, with European teams showing a stronger commitment to employee engagement and learning and development initiatives compared to their U.S. counterparts, who exhibit a lower prioritization of DEIB (11% vs. 24%). Despite this decline, 61% of teams with dedicated DEIB roles plan to maintain these positions, indicating a recognition of its importance in fostering workplace diversity.
Lattice's CEO, Sarah Franklin, emphasizes that HR must focus on enhancing employee performance and engagement while responsibly integrating advanced technologies such as AI into their practices. This balance is essential for long-term organizational success; prioritizing performance over engagement may yield short-term benefits but could undermine the company culture and employee satisfaction in the long run. The report serves as a vital resource for HR professionals aiming to innovate strategically, encouraging organizations to build engaged teams that drive measurable results in an increasingly competitive environment.
