A new study conducted by Personio, Europe’s premier HR software company for small and mid-sized businesses, reveals that 81 percent of HR decision-makers in Europe are witnessing a growing appetite for Artificial Intelligence (AI) adoption from senior leadership.
The research, based on responses from 500 HR decision-makers across the UK and Ireland, sheds light on the increasing prevalence of AI tools in the workplace and the generational differences in adoption rates.
While senior leaders are spearheading AI innovation, the study highlights that younger HR professionals are at the forefront of embracing this technological shift.
An impressive 78 percent of HR professionals aged 25-34 are currently leveraging AI-powered tools, showcasing a clear generational trend in AI adoption compared to 69 percent of those aged 55 and above.
One of the key motivations behind the adoption of AI is its potential to drive tangible cost-savings for organisations, with 91 percent of HR managers already using AI tools reporting either observed or anticipated cost reductions within their departments.
The study further indicates that efficiency gains are a driving factor, as 59 percent believe that AI will streamline HR processes, allowing teams to focus on more strategic aspects of their roles.
A need for education
However, the research highlights a need for education and training to alleviate concerns among employees and facilitate the full integration of AI in the workplace. Approximately 51 percent of respondents cite job loss as a primary challenge around adopting AI, indicating a need for a comprehensive approach to address employee fears.
Pete Cooper, Director of People, Partners & Analytics at Personio, emphasises the importance of education in AI adoption, stating, “The introduction of AI must go hand-in-hand with training and education, both for HR departments as well as employees. By arming the workforce with the skills they need to use AI responsibly and effectively, we can turn their fears around job loss into confidence and improve the overall employee experience.”
Tom Cheesewright, Applied Futurist, reinforces the idea that AI complements rather than replaces human skills. “AI can do some of your work; it cannot do your whole job. The more technology we introduce and the more we use AI, the more we’re going to value people and the qualities that are uniquely human.”
As businesses continue to prioritize efficiency and cost-effectiveness, the integration of AI into HR processes is expected to play a pivotal role in shaping the future of the workplace.
Amelia Brand is the Editor for HRreview, and host of the HR in Review podcast series. With a Master’s degree in Legal and Political Theory, her particular interests within HR include employment law, DE&I, and wellbeing within the workplace. Prior to working with HRreview, Amelia was Sub-Editor of a magazine, and Editor of the Environmental Justice Project at the University College London, writing and overseeing articles into UCL’s weekly newsletter. Her previous academic work has focused on philosophy, politics and law, with a special focus on how artificial intelligence will feature in the future.