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The new year picked up where 2025 left off.
January market movements in HR tech, wellness, and benefits show that the consolidation trend that defined last year isn’t slowing down. If anything, the pace has accelerated with product innovation and new partnerships in the works.
In a surprisingly dynamic start to the year, we round up the biggest industry news that launched 2026.
Phenom Acquires Included AI
The first major update of the month came from Phenom.
The leader in applied AI for hiring and talent management has acquired Included, an AI-native agentic people analytics platform for faster, informed decision-making.
This move expands Phenom’s application of AI for workforce intelligence. HR professionals and executives will be able to access better data insights and take action that drives workforce planning and growth.
Natively integrated into Phenom’s platform, the combined solution will provide data from core HR, talent acquisition, employee engagement, and performance management systems. It will also feature predictive intelligence to mitigate risks, cross-functional dashboards with real-time visualizations, and AI-generated narratives to diagnose bottlenecks and identify gaps.
According to Mahe Bayireddi, CEO and co-founder of Phenom, this acquisition will expand the company’s ability to deliver contextualized applied AI capabilities for every persona and organization.
“Deeper people analytics and workforce planning insights are no longer optional; they’re the foundation for building agile, future-ready teams,” said Bayireddi.
Read the full press release here: Phenom Acquires Included AI, Bringing Agentic People Analytics & Actionable Workforce Insights to Every HR Professional and Business Leader
“Deeper people analytics and workforce planning insights are no longer optional; they’re the foundation for building agile, future-ready teams.”
Mahe Bayireddi
CEO and co-founder of Phenom
ClassPass Parent Merges with EGYM in $7.5B Deal
January marks a significant milestone for corporate wellness, as Playlist, the parent brand of ClassPass, and EGYM, a global leader in fitness technology, announce a definitive agreement to merge.
The transaction includes $785 million in new equity investments, valuing the combined solution at $7.5 billion.
Upon closing, the merger will bring new opportunities to advance in-person wellness on a global scale. EGYM will expand its fitness technology and corporate wellness services into North America and Asia. Meanwhile, Playlist will grow its limited presence in Europe through EGYM’s established footprint.
The transaction is subject to customary regulatory approvals.
Read the full press release here: Playlist and EGYM Announce Agreement to Merge and $785 Million in New Equity Investments, Bringing Together Global Leaders in Fitness and Wellness Technology
Vida Health Partnership to Support Affordable GLP-1 Access for Employers
Vida Health has launched Vida Self-Pay to help employers reduce prescription drug costs while expanding affordable access to GLP-1s and other anti-obesity medications.
In partnership with RxSaveCard, the program provides employers with a flexible way to support employees with lower-cost medication access, combined with Vida’s holistic care delivered by physicians, registered dietitians, and expert coaches.
“Employers genuinely want to support members living with obesity so they can achieve better health outcomes and improved quality of life,” said Jason Macaleer, Chief Strategy Officer at Vida Health.
“The challenge is finding a sustainable way to provide access without straining budgets.”
By combining employer subsidies with access to competitive cash-pay prices, the program solves this challenge. It also gives companies greater flexibility and predictability in cost management.
Vida Self-Pay (Powered by RxSaveCard) is now available to employers and health plans.
Read more: Vida Health Partners with RxSaveCard to Reduce Rising GLP-1 Costs
Remote Expands Global Employment Platform with Atlas Acquisition
The HR market is already seeing major movement this year, as Remote, a provider of EOR services, acquired Atlas, an expense management solution for global teams.
Atlas solves the challenge of managing day-to-day financial operations for distributed teams. Its AI-native platform includes the Atlas Card (the first global employee card designed for remote teams), a flexible points-based budgeting system without reimbursements, and integrated global healthcare across multiple markets.
By integrating the platform into Remote, companies can manage the day-to-day financial operations of distributed teams worldwide.
The deal also lays the foundation for a new category of products from Remote that allow employers to offer more holistic, modern employee experiences.
Notably, on the same day, Payoneer announced it had acquired the EOR platform Boundless, in a deal that will “enable more businesses to expand internationally, pay, and manage talent across borders more efficiently.”
Both acquisitions demonstrate the continuous evolution of global workforce management, specifically the effort to reduce its complexity and give employers greater control over handling distributed teams.
Read more: Remote Acquires Atlas to Simplify How Global Teams Spend and Scale
Benepass Raises $40M Series B to Help Employers With Rising Healthcare Costs
In other industry news, the flexible benefits platform, Benepass, has raised $40 million in Series B funding.
The funding will support the provider’s efforts to expand into larger, more complex employers with pre- and post-tax benefit offerings.
It comes as healthcare costs are projected to rise by as much as 10% this year, driven by increased utilization, chronic conditions, and specialty drugs such as GLP-1 medications.
More than a quarter of employers are shifting costs to employees through higher premiums and deductibles, a strategy that is becoming less effective as inflation strains household budgets.
With the new funding, Benepass will expand its Health Savings Account offering with integrated enrollment and a $125 minimum investment threshold. The company will also expand Specialty Health Reimbursement Accounts as a cost management option for employers, beginning with programs designed to support GLP-1 medications.
These accounts allow employers to define eligible medications, restrict merchants, and tailor access to complementary interventions.
Commending this milestone, the company’s CEO, Jaclyn Chen, said, “By consolidating benefits on a single platform and expanding employee choice, employers can turn benefits into something people actually understand, use, and value.”
Read the full press release here: Benepass Raises $40M Series B to Help Employers Redesign Benefits for Rising Healthcare Costs
“By consolidating benefits on a single platform and expanding employee choice, employers can turn benefits into something people actually understand, use, and value.”
Jaclyn Chen
CEO of Benepass
Vensure Acquires Recruiting Platform Distro
The month’s updates concluded with Vensure Employer Solutions, a leading HR technology provider, announcing its acquisition of Distro, an AI-powered recruiting platform.
Founded in 2021, Distro helps companies facilitate hiring through intelligent automation. Its AI Screening runs structured video interviews with qualified candidates, providing instant insights and scores to HR teams and hiring managers while ensuring fairness by giving each candidate the same initial experience.
With this deal, Vensure is positioned to help employers reduce time-to-hire, improve candidate quality, and scale hiring globally.
“Distro represents the future of talent acquisition, adding AI-driven speed, efficiency, and precision in hiring,” stated Alex Campos, CEO of Vensure Employer Solutions.
Read the full press release here: Vensure Employer Solutions Acquires AI Recruiting Platform Distro
Written by tamara jovanovska
Content Writer at Shortlister
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