Survey Reveals HR Leaders Are Overlooking the Need for Worker Reskilling Amidst AI Advances

The Overlooked Need for Reskilling Workers in an AI-Driven World

As businesses continue to embrace artificial intelligence (AI), a new survey from The Conference Board reveals a concerning trend among HR leaders: reskilling workers is not a top priority. This finding is crucial as AI's influence on the workplace grows, and the skills required for various jobs evolve. With only 7% of Chief Human Resources Officers (CHROs) admitting to implementing reskilling strategies for positions highly susceptible to AI takeover, the gap between technological advancement and workforce readiness widens.

Survey Findings Highlights

The survey, part of the biannual CHRO Confidence Index, assessed more than 80 CHROs across various sectors. The results reveal that despite a slight drop in overall confidence in the job market, strategic focus on reskilling measures lagged significantly. In fact, 62% of CHROs reported that their primary focus is on experimenting with AI pilots and applications to enhance human capital management, rather than preparing employees for the changes AI may bring.

The emphasis on AI experimentation signals a fundamental shift in priorities, suggesting that HR leaders are more invested in exploring AI's potential rather than safeguarding their workforce’s future. Diana Scott, Leader of The Conference Board US Human Capital Center, stresses that organizations ignoring the urgency of upskilling may find themselves at a disadvantage as the demand for new skills rises.

What HR Leaders Are Prioritizing

1. AI Experimentation: A substantial majority of HR leaders (62%) prioritize testing AI applications over worker reskilling initiatives. This reflects a shift towards immediate technological applications rather than long-term workforce sustainability.
2. Risk Management: 36% of CHROs are considering AI governance to mitigate risks associated with its implementation across corporate structures.
3. AI Literacy Programs: Although only 21% are developing AI literacy programs for their employees, this is a step toward addressing the knowledge gap inherent in AI's rapid adoption.
4. Addressing Labor Concerns: The same percentage (21%) of respondents are focusing on alleviating employee anxieties surrounding AI, frequently linked to job displacement, by emphasizing its potential benefits instead of threats.
5. Creating New Roles: 20% of the HR leaders recognize the necessity of creating positions that integrate AI expertise into their organizational structure, reflecting a proactive response to the changing landscape.

Implications for HR Strategy

The findings of this survey suggest a pivotal moment for HR leaders. As automation becomes prevalent, prioritizing worker reskilling will not only facilitate a smoother transition but also help organizations maintain competitive advantages. The reluctance among many CHROs to invest in proactive workforce development strategies could prove detrimental in a rapidly evolving job market.

Moreover, maintaining employee engagement and retention remains critical, especially as only 37% of CHROs anticipate hiring increases in the coming six months, a stark contrast to previous expectations. The CHRO Confidence Index also indicates mixed sentiments around retention, with some anticipating declines.

Conclusion

In the face of AI advancements, neglecting the reskilling of employees can lead to unforeseen challenges for organizations. It’s imperative for HR leaders to realign strategies that encompass both innovation through AI and the professional growth of their workforce. As Diana Scott aptly puts it, companies that prioritize workforce preparedness in the era of AI are positioning themselves not just to survive but to thrive.

As we move further into 2025, it is crucial for HR departments to reconsider their priorities, ensuring that they do not merely adapt to AI but actively prepare their employees for the future that lies ahead.