The article is devoted to issues of changing the function of personnel management in the period of changes and transformations. The purpose of the article is to systematize and generalize the processes of transformation of personnel management functions that occur under the influence of economic changes and digitalization; researching the possibilities of competent people management in a period of change and determining the main areas of HR affected by the changes. The topic is extremely relevant, because in a period of rapid changes in the business environment, where the competition for talent is constantly growing and technological innovations are constantly developing, the ability to effectively manage human capital becomes the main condition for success. Empirical research methods have been chosen to study the topic. The evolution of the personnel management function continued continuously. However, now, in the conditions of new realities, the transformation of HR has become especially necessary. This was caused by rapid digitization and development of the digital economy, personnel mobility, constantly changing employee motivations, and the emergence of hybrid work schedules. The transformations affected the following areas of HR: 1) Culture and communication in the company – Readiness for challenges and risks, the ability to quickly adapt, collective cooperation, gender equality, increasing the role of corporate culture; 2) Organizational structure – moving away from clear centralization and hierarchy, replacing control with delegation and cooperation; 3) Training, evaluation and development of employees – increasing the weight of knowledge, career management, individualized development; 4) Search and selection of personnel – automated search for candidates, chatbots, use of recruiting software, video interview as the first stage of the interview, selection of candidates based on values; 5) Staff motivation – paying more attention to the needs of employees and their job satisfaction, creating an effective system of material and non-material incentives; 6) Automation – the transformation of HR processes through social, mobile, analytical and cloud technologies allows to reduce the amount of paper media and documentation, increase the reactivity of personnel management procedures and operations, reduce their labor intensity, make all HR activities more mobile and optimized; 7) Changing the model of labor relations – gig contracts, short-term projects, remote work, hybrid work schedules, outsourcing; 8) New HR technologies – HRM, Big Data, ERP systems. Therefore, the main goal of the transformation of the personnel management function is to optimize and increase the effectiveness of the management process aimed at the human component of the organization, which is achieved through the search and application of more effective personnel management methods and tools.