AI and the Skills Gap
Artificial Intelligence (AI) is rapidly transforming the modern workplace. From automating routine tasks to supporting decision-making and improving productivity, AI is no longer a future concept. It is already reshaping how organisations operate today.
The pace of development is accelerating quickly. New AI tools and platforms are emerging almost weekly, changing how employees communicate, analyse information, and complete everyday tasks.
This rapid evolution presents both opportunity and challenge. Businesses can benefit from improved efficiency and innovation, but only if their workforce has the skills needed to use AI effectively and responsibly. Without investment in learning and development, organisations risk facing a widening skills gap.
The gap between investment and readiness
Many organisations are investing heavily in AI, but workforce readiness is lagging behind. McKinsey reports that 92% of companies plan to increase AI investment, yet only 1% consider themselves mature in AI deployment, meaning AI is fully integrated into workflows and delivering meaningful outcomes.
This highlights a key issue. The barrier to AI success is often not the technology itself but the skills, leadership, and organisational structures needed to use it effectively.
Employees are often more ready for AI than leaders assume. Research shows workers are already using AI tools more frequently than executives realise, suggesting that informal adoption is happening faster than formal training or strategy development.
Age demographics and AI confidence
The skills gap is also shaped by generational differences. McKinsey data shows that employees aged 35–44 report the highest confidence and familiarity with AI tools, while older age groups demonstrate significantly lower levels of familiarity. For example, only around 26% of workers aged 55–64 and 22% aged 65+ report extensive familiarity with generative AI.
This does not mean older employees cannot adapt, but it does highlight the need for inclusive learning strategies that support workers at different stages of their careers. Without targeted development opportunities, organisations risk creating uneven adoption and widening internal capability gaps.
Learning and development as the solution
Closing the AI skills gap requires organisations to rethink learning and development. Traditional training models that focus on occasional courses or static skills are no longer sufficient in an environment where technology evolves constantly.
Instead, businesses should focus on:
- embedding AI learning into everyday work
- encouraging experimentation in safe environments
- supporting managers to lead AI adoption confidently
- creating cultures where learning new technology is expected, not optional
AI is reshaping work faster than ever, and organisations that invest in people alongside technology will be best positioned to succeed.
If you are looking for a cost-effective way to support employee development, engagement, and wellbeing while helping your workforce adapt to change, our team can help. Discover how our benefits and wellbeing solutions support modern workplaces and future-ready employees.
