Today’s economic, political, and social climate can best be described as a full-on storm, what with inflation, costs, unemployment rates and changing labor supply, rising customer expectations, disruptive new tech like AI, and with a torrent of C-suite and government decisions.
Facing the howling winds are contact center leaders who must ensure that their customers are served and engaged with the right numbers of high-quality agents and supervisors, no matter what.
To help contact centers weather this storm, we reached out to a panel of industry experts for their guidance. They are:
- Liz Griffin, Managing Principal, Client Relationships & Growth, The Northridge Group
- Mark Pereira
- Stephane Rivard, Co-Founder and CEO, HiringBranch
Here are the questions we posed and their answers:
Q. What key trends and their drivers are you seeing in contact center agent staffing, assessment, and retention?
Liz Griffin:
Across the industry, we’re seeing a fundamental rebalancing between efficiency and experience. Leaders are moving past reactive staffing to more predictive, data-driven workforce models.
AI-enabled forecasting, intelligent scheduling, and self-service tools are helping teams manage volume and complexity, but the human side is where the real differentiator lies.
Agents today expect flexibility, growth, and purpose. As automation removes repetitive work, the new challenge is keeping employees engaged in higher-value tasks.
“Leaders are moving past reactive staffing to more predictive, data-driven workforce models.” —Liz Griffin
Companies investing in clear career paths, stronger coaching, and adaptive learning platforms are the ones seeing measurable improvements in retention and performance.
Mark Pereira:
One thing that hasn’t changed in contact centers is turnover. It remains high, often ranging between 30% and 45%.
Replacing agents is challenging, especially in on-site centers or when the job requires specialized experience, such as expertise in health insurance. The reasons for turnover are familiar: limited career progression, stress, and pay competition all play a role.
Another big trend is the shift toward hybrid and remote work. Centers that stay flexible not only save money on real estate, but they also tap into a broader talent pool. Cloud platforms and better security make this setup possible, and frankly, most agents and managers prefer it.
Having worked in both in-person and remote settings, I’ve seen firsthand how hybrid models keep people engaged while keeping costs down. However, remember that the cost savings from high-cost real estate need to be invested in employee morale initiatives.
Then there’s AI assist. AI is now woven into the contact center at nearly every level:
- Agents use AI-powered knowledge bases and chatbots to get quick answers.
- Leaders rely on AI for quality assurance (QA), such as sentiment analysis, and in workforce management (WFM), where AI significantly reduces the guesswork involved in forecasting and scheduling.
I still remember the old days as a team lead, when if 10 agents didn’t appear in our WFM tool, I’d spend hours manually piecing together a week’s schedule. Today, AI can do that heavy lifting in seconds.
Finally, flexible labor models are on the rise. Staffing agencies, gig platforms, and BPOs provide centers with extra capacity during peak times or when specialized skills are required.
Customer expectations continue to drive this growth, leading to faster, omnichannel, and more personalized service. Rather than struggle with staffing gaps, many centers are building flexible partnerships to stay agile.
Stephane Rivard:
In contact centers, two major shifts are reshaping staffing and retention.
First, hiring continues to move from résumé-first to skills-first, with organizations expanding their funnels and using automation to handle early-stage coordination and screening.
“As automation and self-service systems handle simpler interactions, organizations need agents with stronger interpersonal and problem-solving skills…” —Stephane Rivard
This shift is driven not only by skill shortages and application volume but also by a smaller overall labor pool, as the U.S. labor force participation rate is projected to drop to 61.1% by 2034, according to the latest Bureau of Labor Statistics (BLS) data (also see BOX on U.S. Outlook).
Given that customer service employment is expected to decline by 5% between 2024 and 2034, contact centers are focusing more on quality of hire rather than quantity.
As automation and self-service systems handle simpler interactions, organizations need agents with stronger interpersonal and problem-solving skills to handle complex or emotionally charged situations.
We’re also seeing growth in simulation-style assessments that give candidates a realistic preview of the job while allowing employers to evaluate empathy, communication, and adaptability: traits that can’t easily be automated.
These predictive assessments are increasingly integrated with applicant tracking and quality management (QM) systems to provide deeper, ongoing insights into agent performance and potential.
Q. AI has been widely predicted in some quarters to substantially slow hiring and lower headcount. But will this be the case in contact centers?
Liz Griffin: Not in the way many predict.
Our latest research found that AI is creating new roles, not just eliminating old ones, especially in customer experience (CX), IT, and operations. Nearly 80% of executives say AI now shapes decision-making, yet most still rely on people to interpret insights, manage exceptions, and preserve empathy.
In practice, AI is reducing manual volume and allowing agents to focus on complex, judgment-driven interactions.
The future contact center will be smaller in repetitive work but stronger in capability – true engagement and experience hubs – with more coaches, quality leads, and AI-assisted specialists who use data and technology to elevate the CX.
Mark Pereira: There isn’t a one-size-fits-all answer here. Yes, AI keeps getting smarter, and some jobs will fade away: just like typists or switchboard operators did years ago.
“AI isn’t eliminating the need for people; it’s reshaping the work we do and elevating the value of human connection in the moments that matter most.” —Mark Pereira
However, what I see happening more often is that jobs are being reshaped and new ones are being created. We’re already seeing demand for higher-skilled agents, stronger leaders, and even roles dedicated to managing and training AI systems.
From my perspective, AI will take on simple, repetitive tasks, such as checking an account balance, tracking a delivery, or confirming office hours.
But when the stakes are higher — say a customer disputing fraudulent charges or a provider working through a medical claim — that’s where a skilled human agent is essential.
In those moments, AI becomes the agent’s copilot, surfacing the right information quickly, reducing handle time, and ensuring the customer receives consistent, accurate answers.
AI isn’t eliminating the need for people; it’s reshaping the work we do and elevating the value of human connection in the moments that matter most.
And let’s be realistic: if companies were to replace their entire human workforce, who would they be selling their products and services to, AI?
The future of call and contact centers isn’t humans versus AI. It’s humans and AI working together.
Q. Will the future contact center workforce be different than it is currently?
Liz Griffin: Tomorrow’s teams will look more like blended digital-human ecosystems.
Workforce optimization isn’t just about scheduling; it’s about skill alignment. Agents will work alongside AI tools that handle routine queries, while human talent focuses on emotional intelligence, critical thinking, and relationship management.
“…employee experience is customer experience, and the organizations that protect and elevate both will lead the market in 2026.” —Liz Griffin
As generational shifts continue, particularly with the “Peak 65” retirement wave, organizations must accelerate knowledge transfer and mentorship to retain institutional expertise while building next-gen skills.
Mark Pereira: Yes, I think the contact center workforce of the future will look quite different.
For starters, I see more centers breaking up with their scripts and focusing instead on actually solving customer problems. That means agents won’t just need to be tech-savvy: they’ll also need the soft skills to calm down tense situations when they come up.
Turnover is unlikely to disappear anytime soon, so continuous upskilling will be crucial to keeping agents sharp and meeting the increasing demands of customers.
AI will definitely help the workforce by giving real-time suggestions. But leaders can’t just take AI’s word for it. Decisions will still need human judgment, based also on input from the people who are actually doing the work.
I also think coaching will become increasingly important, driven by QA analytics, as well as the fact that customers expect faster and more personalized service than ever before.
So, the future agent isn’t just reading from a script; they’re adaptable, emotionally intelligent, and they’re working hand-in-hand with technology to deliver a better experience.
Stephane Rivard: Absolutely. While automation will continue to take on a growing share of transactional work, human agents will remain essential for delivering empathy, creativity, and nuanced service: qualities that technology still can’t replicate effectively.
“…contact centers will need to broaden their recruiting strategies, appeal to new talent pools, and invest in reskilling.” —Stephane Rivard
However, the composition of the workforce may shift. The BLS projects that fewer women will participate in the workforce by 2034, reversing a long-standing trend, which could have a significant impact on contact centers, where women have historically comprised a large portion of agents.
In response, contact centers will need to broaden their recruiting strategies, appeal to new talent pools, and invest in reskilling.
At the same time, AI-enabled soft skill assessments will play an increasingly central role in identifying candidates who are resilient, empathetic, and adaptable. These are key traits for thriving in hybrid or AI-augmented environments.
What About the Supervisors?
Most of the attention on hiring and retaining contact center staff has focused on the agents, and understandably so, as they engage with customers and users directly and are the most numerous of the contact center employee types.
But it is the supervisors who help to ensure productive contact centers and who are on the front lines to develop and, critically, retain excellent agents. In doing so, they indirectly help attract high-quality new agents through current agents’ word-of-mouth and social post recommendations.
So, we asked whether there are changes in recruiting and retaining supervisors.
Liz Griffin:
Absolutely. The traditional “supervisor” role is evolving into a coach-analyst hybrid. With access to real-time data, leaders are expected to guide both performance and wellbeing.
We’re also seeing flatter structures and higher agent-to-leader ratios, requiring better leadership training and digital fluency. Organizations that pair AI insights with human coaching are seeing the strongest engagement and retention results.
Mark Pereira:
I think we’ll definitely see changes in how supervisors and managers are hired and retained.
As AI continues to become smarter and more integrated, the ratio of agents to leaders may shift. Many of the manual tasks leaders used to handle — such as logging into multiple systems to track performance — can now be streamlined as technology starts “talking” to each other.
However, here’s the catch: leaders require proper training to effectively utilize these tools, which helps companies attain ROI much faster. Handing them a 200-page manual and saying “good luck” isn’t realistic. Most leaders are already overloaded, so the focus should be on making their jobs easier, not harder.
When it comes to hiring, I strongly believe in promoting from within whenever possible. Internal promotions send a powerful message that an agent’s role isn’t a dead end.
Additionally, those who are already promoted understand the company’s products, services, and culture, meaning less time is spent on onboarding. That said, there will be times when external hires are necessary, especially for specialized skills such as automation or AI governance.
We also cannot ignore the importance of digital literacy. Providing leaders (and even agents) with opportunities to upskill in areas such as people analytics, AI, and automation will prepare them—and the business—for the future.
Soft skills will always matter, but pairing them with digital expertise is what will set great leaders apart in the next generation of contact centers. A future-ready team means a future-ready company.
Q. What are your recommendations to contact centers to ensure they have the needed staff, both agents and supervisors, as we head into 2026?
Liz Griffin:
- Invest in adaptive learning. Upskilling and reskilling can’t be one-time events; they must evolve with the tech.
- Prioritize onboarding and mentorship. Our research shows strong onboarding improves retention by 82%.
- Redesign for flexibility. Use AI to forecast more precisely, but give people autonomy to manage their schedules.
- Align people, process, and technology. The best staffing outcomes happen when human capital, process redesign, and digital investments move together.
At the end of the day, employee experience is customer experience, and the organizations that protect and elevate both will lead the market in 2026.
Mark Pereira: First, redesign agent and leadership roles with AI in mind. Ask what tasks can be automated, and what tasks must stay human?
For example, if a payment needs to be entered into two different systems, automation can handle the duplicate entry, allowing the agent to focus on resolving the customer’s issue.
“The more capable your people are, the more value they deliver to both the business and the customer.” —Mark Pereira
Preserve and protect the human moments that add value. Like untangling a billing dispute or calming a frustrated customer.
Additionally, update job descriptions to ensure executive teams clearly understand the value your center provides. That transparency helps protect against arbitrary cuts and makes hiring and training decisions better.
Second, keep investing in training. Short, bite-sized learning (microlearning) is effective, but balance it with robust courses that develop both today’s skills and tomorrow’s.
Don’t just train agents and leaders on daily tasks like soft skills. Also prepare them for emerging areas such as working alongside AI tools, interpreting analytics, or managing digital channels. The more capable your people are, the more value they deliver to both the business and the customer.
Finally, double down on retention strategies that matter.
Flexibility in scheduling, mental health support, excellent pay and benefits, and visible career paths all go a long way in reducing turnover. Pair that with a strong onboarding experience, recognition for performance, tools that make the job easier, and consistent team engagement through huddles or check-ins.
Remember, every investment in your people saves far more than the high cost of replacing an agent or leader. When your team loves where they work, they’ll rave about your company: and your customers will notice.
Stephane Rivard: As we move toward 2026 and beyond, contact centers will need to address both talent scarcity and talent quality.
With the BLS projections showing declining employment in customer service and a shrinking labor force overall, contact centers can no longer rely on volume-based hiring. The priority must be finding and developing the right people, not just filling roles.
That means going beyond traditional resumes and time-to-hire metrics to measure the soft skills that drive loyalty and customer satisfaction, like empathy, communication, and problem-solving.
AI-driven assessments can now evaluate these skills at scale through short, job-like simulations, helping hiring teams quickly identify top talent. For supervisors, AI can also help detect leadership potential early, ensuring a stronger internal pipeline.
The contact centers that thrive will be those that combine human judgment with AI insights to make fairer, faster, and more predictive hiring decisions, ensuring that, even in a smaller and more automated job market, they retain the human edge that customers still value.
U.S Outlook: Fewer Agent Jobs, Women Workers
The total U.S. employment market is projected to continue to grow over the next 10 years, but at a slower pace than in the past.
According to the U.S. Bureau of Labor Statistics (BLS), the U.S. economy is projected to add 5.2 million jobs from 2024 to 2034. Total employment is projected to increase to 175.2 million, growing at 3.1%. But this is far slower than the 13% growth recorded from 2014 to 2024.
But while some segments, notably healthcare and social assistance (driven by the aging population and chronic illnesses) and IT, notably AI-related occupations will see many new opportunities, others, like customer service (including the contact center), will continue to experience declines.
The BLS is projecting a drop in their employment from approximately 2.8 million to 2.7 million – a 5% decline – between 2024 and 2034.
Says the BLS Occupational Outlook Handbook, Customer Service Representatives, “There is expected to be less demand for customer service representatives, especially in retail trade, as their tasks continue to be automated.
“Self-service systems, social media, and mobile applications enable customers to do simple tasks without interacting with a representative. Advancements in technology will gradually allow these automated systems to do even more tasks.”
But the BLS also reports that even with the net decline of customer service positions, there will still be openings – 341,700 each year over the next 10 years – to replace those exiting the workforce, like for retirement or who transfer to other positions.
But who will fill those vacant positions? The BLS is also projecting an accelerated decline in the labor force participation (LFP) rate from 2024 to 2034 to 61.1% from 62.6% in the 2014-2024 period.
The faster drop appears to be caused by fewer women joining the workforce: a reversal of past trends. While the LFP rate of women working increased by 0.5% from 2014 to 2024 to 57.5%, that is expected to flip to a 0.8% decline, to 56.7%, from 2024 to 2034.
This number, if it holds up, may well be significant for contact center hiring with women apparently having comprised the majority of contact center agents.
We asked our panel for their commentary on these BLS projections.
Liz Griffin:
The latest BLS projections reflect what we’re seeing across the industry: workforce shifts are accelerating as automation advances and demographic changes reshape labor supply.
While healthcare continues to grow with an aging population, these trends also influence the types of support customers expect and the skills organizations need.
The decline in customer service roles doesn’t mean CX is shrinking; it’s evolving. Contact centers are becoming smaller in headcount but stronger in capability, transforming into true experience and engagement hubs that combine data, automation, and human judgment to create meaningful interactions.
The dip in women’s labor force participation is worth watching. Women have long represented a large share of the contact center workforce, so retaining and reskilling this talent through flexible models, hybrid work, and clear career paths will be critical to sustaining service quality and continuity.
“…workforce shifts are accelerating as automation advances and demographic changes reshape labor supply.” —Liz Griffin
In short, this is less about job loss and more about job redesign. The opportunity lies in balancing automation with access, empathy, and inclusion so that every customer interaction still feels distinctly human.
Mark Pereira:
The BLS projection for a 5% decline in the number of customer service representatives sounds concerning at first, but look closer at the number of new openings every year to replace people leaving the field.
So, even if the total number of CSR roles dips slightly, call and contact centers will still be very busy with hiring, onboarding, and developing talent.
A dip in women’s labor force participation could make hiring more challenging, but it also opens an opportunity for call and contact centers to lead the way in rethinking flexibility and inclusion.
Centers can promote what many women value most: remote or hybrid roles, predictable schedules, and the ability to trade shifts for a day, a week, or when life happens.
Supportive cultures also make a difference: ones that understand real-life challenges and offer resources like strong employee assistance programs (EAPs) to help find affordable child or elder care.
Just as important is showing women how their work makes a meaningful impact, not only on the company, but on the customers and communities the company serves.
When women see both flexibility and purpose, they see a future worth staying for.
