Folks, a leading Canadian HR software solution provider, has released its 2026 State of HR survey, shedding light on the significant amount of time HR professionals in small and medium-sized businesses (SMBs) spend on administrative and operational tasks. According to the survey, which gathered insights from over 450 HR professionals across Canada, a staggering 70% of HR time is still dedicated to these tasks — leaving little room for the strategic priorities that drive business performance.
The most time-consuming processes cited by respondents include managing employee files and HR administration (37%), recruiting and onboarding (32%), and internal communication and coordination (12%). Meanwhile, higher-value activities like performance management and workforce planning take a back seat.
The consequences are significant. With the majority of HR bandwidth consumed by repetitive processes, organizations risk falling behind on the priorities that matter most to employees and business leaders alike. The same survey found that 60% of Canadian SMBs rank organizational culture as their top HR priority for 2026, and 57% want to invest in professional development. Yet, these goals remain hard to pursue when day-to-day administration dominates the workload.
Technology adoption could offer a path forward, but progress remains uneven. Only 18% of surveyed SMBs have a fully integrated HR management system, and nearly 8 in 10 operate with technological silos. The survey also found that implementing an HRIS can save organizations more than 800 hours per year — equivalent to approximately $25,000 in reallocated salary value.
Founded in Ontario in 2010, Folks has been at the forefront of providing user-friendly HR tools designed to simplify workforce management. Their all-in-one HR software aims to save time, improve efficiency, and foster employee engagement, making it an invaluable asset for SMBs striving to optimize their HR operations.
Jimmy De Santis, Director of Customer Operations at Folks, commented on the survey’s findings, emphasizing the importance of adopting innovative HR solutions. He stated,
“Centralizing and democratizing HR information allows HR professionals to become strategic partners rather than administrative processors, empowering them to have a real impact on the organization.”
The survey also revealed that many HR professionals are seeking solutions that offer comprehensive features, such as time tracking, performance reviews, and absence management, to better manage their workforce. Folks’ software is designed to meet these needs, providing a seamless experience that integrates all essential HR functions into one platform.
As the landscape of HR continues to evolve, the demand for solutions that can adapt to the changing needs of businesses is more critical than ever. Folks remains committed to supporting Canadian SMBs by offering innovative tools that not only streamline HR processes but also contribute to the overall success of the organization.
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