The AI divide: Leaders thrive while frontline workers lag behind

5 minute read

The AI skills gap is growing in UK workplaces, with business leaders thriving while frontline workers fall behind in AI adoption. The People Space’s editorial director Siân Harrington explores the latest research and examines what HR and businesses should do to close the AI divide

Sian Harrington

 

The accelerating integration of artificial intelligence (AI) into the workplace has the potential to reshape industries, streamline operations and boost productivity. Yet a significant divide is emerging in how this technology is being adopted across organisational levels. Business leaders are rapidly embracing AI tools but for the majority of frontline workers AI remains largely out of reach

This gap in access to AI training and technology could have profound implications for the future of work, leaving a significant portion of the workforce unprepared for the changes ahead.

Recent research from Boston Consulting Group (BCG) backs other studies in revealing a growing disparity between corporate leaders who thrive with AI and frontline workers who are lagging behind. As companies navigate the AI revolution bridging this divide will be essential not only for maintaining competitiveness but also for ensuring that workers at all levels are equipped with the skills they need for the future.

The AI divide: Evidence from BCG’s ‘AI at Work’ Report

The stark contrast in AI adoption between leaders and frontline workers is highlighted in BCG’s AI at Work: Friend and Foe report. The study, which surveyed more than 13,000 workers across 15 countries, including the UK, reveals a significant gap in how AI is being utilised and accessed within organisations.

According to the report 82% of global business leaders and 56% of managers now use generative AI (Gen AI) such as ChatGPT and Gemini regularly in their roles. By contrast just 43% of frontline workers are regularly using Gen AI and only 28% are receiving the AI training necessary to fully leverage this technology in their day-to-day tasks (21% in the UK). With the research revealing that 50% of leaders globally have been trained on how AI will change their jobs this signals that many businesses are focusing their AI resources and training efforts on leadership and management teams while leaving those on the front lines behind.

Unsurprisingly, therefore, frontline employees are less confident about Gen AI than managers (41%) and leaders (50%). The implications are clear: AI is transforming work at the top of organisations, but many frontline workers are still waiting to be brought into this new technological era.

Leaders thriving: How business executives are harnessing AI

For business leaders AI represents a powerful tool for driving innovation and strategic decision-making. BCG’s research shows that leaders are not just experimenting with AI, they are deeply integrating it into their work to enhance productivity and operational efficiency. More than eight in 10 of all workers surveyed by BCG report that AI helps them save time, increase their speed, decrease time spent on administrative tasks and improve the quality of their work. Importantly, 81% say it has freed them up to spend more time on strategic work.

As decision-makers gain more access to AI tools they are increasingly confident in the technology’s ability to drive business outcomes. This confidence is reflected in the findings, with leaders significantly more bullish about AI’s long-term impact on their jobs compared to other segments of the workforce.

“In boardrooms around the world how to harness AI is one of the key issues. As senior leaders see first-hand how these discussions play out they are upskilling themselves in this technology at pace and scale. In the years ahead we expect this gap to close significantly as leaders focus their teams on the benefits and opportunities of Gen AI,” BCG tells The People Space. 

However, this leadership-centric approach to AI adoption raises a critical question: Why aren’t frontline workers receiving the same level of attention when it comes to AI training?

Frontline workers lagging: The untapped potential of AI

Frontline workers are often the backbone of any organisation, yet when it comes to AI adoption they are being left behind. This gap in access to technology and training limits their ability to contribute fully to AI-driven innovations within their organisations.

The BCG study shows that more frequent usage translates to increased confidence and less anxiety. Nearly a quarter of frontline employees are anxious about Gen AI while just 15% of leaders are anxious. With more frequent usage anxiety in general falls to 15%. 

“AI upskilling and reskilling among frontline workers is something businesses – big and small – need to grapple with,” BCH says. “The ability to harness and deploy AI-enabled tools in the workplace will become a core requirement for workers in the years ahead. Our research suggests that it will likely drive productivity with 10-20% gains in efficiency in everyday tasks, create a competitive advantage and support greater profitability.” 

Some organisations appear to be listening. Last week outsourcing company Capita launched its AI Academy in partnership with tech-first institution Multiverse. It is training more than 100 frontline workers in its Public Service and Customer Experience divisions. This initiative aims to equip employees with the skills needed to harness AI responsibly and effectively, focusing on business value and ethical AI use. Capita’s programme serves as a model for how organisations can upskill frontline workers, ensuring that AI benefits are distributed across all levels of the workforce.

Yet, such initiatives remain the exception rather than the rule. If businesses do not act to bridge this gap they risk creating a two-tier workforce where leaders thrive with AI and frontline workers struggle to keep pace.

AI in non-tech sectors: The rising demand for AI skills

The rise in AI demand is not confined to the tech sector. According to research last week by job search engine Adzuna close to 30% of AI-related job postings in July 2024 were in non-tech sectors such as sales, PR, advertising, marketing and accounting. This trend signals that AI is becoming a critical skill across a wide range of industries, not just those traditionally associated with technology.

For HR professionals and people leaders this shift presents a significant challenge: how to ensure that all workers, not just those in tech roles, are equipped with the AI skills that are increasingly required in their fields. The need for AI literacy in non-tech sectors underscores the urgency of providing AI training at all levels, from the c-suite to the shopfloor.

Gen AI: A gamechanger for workforce performance

A separate piece of research from BCG adds another layer to the conversation about AI’s impact on the workforce. In the study, The Rise of the GenAI-Augmented Worker, BCG explored how generative AI tools could enhance the performance of workers with little to no expertise in data science tasks. The findings were striking: when using Gen AI for data science consultants with no prior experience could perform at up to 84% of the level of trained data scientists. This represents a 49% performance improvement compared to consultants not using AI.

These results illustrate the potential of AI to empower workers across skill levels. By augmenting human capabilities Gen AI enables employees to take on tasks outside their areas of expertise, enhancing productivity and innovation. For frontline workers, who often face more routine and manual tasks AI could be a gamechange, helping them shift from repetitive activities to higher-value work.

However, this potential remains largely untapped due to the current training gap. A report by AI platform ServiceNow highlights the stakes: AI is expected to create 610,000 new roles in the UK by 2028, particularly in sectors such as technology, education and healthcare. At the same time industries like retail and manufacturing could see significant job losses if workers are not reskilled to handle the changes AI will bring. If frontline workers are not equipped with AI skills they risk being left behind in this new era of work.

According to BCG’s frontline worker research the Global South is ahead of the game here, with regular use of Gen AI higher than in the Global North and more value being gained. The Global South leads when it comes to training managers and frontline employees. 

Says BCG: “With a number of companies in the Global South investing in AI training for their staff, companies around the world will be following their lead quickly.  The Global South has a younger demographic, so the optimism of youth and a number of younger companies, which have less inertia of doing things in a certain way and are open to newer technologies and quicker to adapt.”

Addressing the AI divide: What needs to change

The evidence is clear: AI has the potential to transform the workplace at all levels but the current divide between leaders and frontline workers is hindering progress. For organisations to fully realise the benefits of AI they must invest in upskilling all employees, not just those in leadership roles.

Businesses should ensure that frontline workers have access to the same tools and learning opportunities as their leaders. This can be done through targeted training programmes, such as the Capita AI Academy, which focus on teaching workers how to use AI to drive business value and improve operational efficiency.

Additionally, companies must rethink how they define expertise in the AI era. As BCG’s research shows Gen AI tools can enable workers to perform complex tasks with little prior experience. This means that businesses can – and should – expand their view of who can contribute to AI-driven initiatives. By doing so they can unlock the full potential of their workforce and ensure that no one is left behind in the AI transformation.

Closing the AI skills gap

The AI workplace revolution is well underway but its benefits are not being distributed equally across the workforce. Business leaders are thriving with AI while frontline workers are being left behind due to a lack of training and access to AI tools. This divide threatens to create a two-tier workforce, where those with AI skills reap the rewards of technological advancements and those without them struggle to keep up.

To avoid this outcome businesses must take urgent action to close the AI skills gap. By investing in AI training for frontline workers and providing them with the tools they need to succeed companies can ensure that the benefits of AI are shared across all levels of the organisation. Only then can the full potential of AI be realised, transforming the future of work for everyone.

Published 9 September 2024
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