AI and the Workforce: The Opportunities and Challenges Employers Face with Upskilling


By Newsroom Staff

 

LISLE, Ill. – September 3, 2024 – The rapid adoption of generative artificial intelligence (AI) and high-volume data analytics, coupled with shifting societal norms, are upending many traditional jobs and creating new ones at an unprecedented rate - and if business leaders don't act fast to equip employees with the skills they need to thrive in their work, they could be putting their organizations at risk.

 

To best understand how the influx of deep, complex technologies is impacting the workforce, DeVry University recently released its second annual report on upskilling and reskilling, Closing the Gap: Upskilling and Reskilling in an AI Era, which sheds light on the ongoing challenges and opportunities in skill development in an AI-focused business environment. The research, conducted in partnership with Reputation Leaders, found a persistent gap between what workers say and the actions they take to engage with continuous skill development. Additionally, results showed that workers and employers alike are adrift in how to prepare for AI, opening organizations up to significant risk across talent development, ongoing business continuity and competitiveness.

 

A “Say vs. Do” Gap Persists

 

In comparison to DeVry’s 2023 report, the second annual upskilling report found an increase in worker enthusiasm for lifelong learning. Currently, three in four (76%) workers agree that investing in education will help them advance in their careers. Additionally, barriers to upskilling such as time, money, and competing priorities have lessened over the past year.

 

However, despite these findings, while 9 in 10 employers say they offer company-paid upskilling benefits, employers also estimate that on average only about half of their workers (55%) actually utilize these benefits, demonstrating a persistent say vs. do gap.

 

This disparity highlights a crucial opportunity for employers to take a step back and better understand how to engage workers into existing upskilling programs. By re-evaluating current approaches and identifying ways to make upskilling more engaging, employers more effectively support their employees and drive a future-forward organization. With the survey also finding that 43% of workers who don’t receive upskilling benefits feel more tired of their job compared to those who receive and use these benefits (30%), leaning in to upskilling approaches can also help retain employees and ultimately, drive greater organizational success.

 

Employers Underestimate AI Readiness of Workers

 

Another critical insight emerged suggesting that workers are more prepared for an AI-driven future than their employers might realize. For instance, more than half of workers (56%) across various industries report they already use AI tools regularly, and a significant portion (49%) say they consider their AI skills to be intermediate or higher. Despite this, employers continue to underestimate their workforce's AI fluency, with employers reporting they believe that 32% of their workers are novices, even though only 3% of workers describe themselves as such.

This disconnect reveals a significant blind spot for employers in managing organizational risks and underscores the need for clear standards to measure AI proficiency – suggesting employers need to gain a better understanding of their workers' true skill levels in AI.

 

Women Face an AI Knowledge Gap

 

The survey found a knowledge gap between men and women as it relates to AI, with 68% of women saying they don’t fully understand what AI means compared to 82% of men. Moreover, women are less optimistic about the impact of AI on their future, with men being over 50% more likely to report that AI will open more career opportunities for them.

 

This gap also extends to the adoption of AI tools and skill development. While 55% of men consider their AI skills intermediate or higher, only 41% of women feel the same, which points to a juxtaposition and call to action, both for women workers and their employers. For employers, it signals a need to more intentionally engage women in AI upskilling. At the same time, women also have an opportunity to be more open to the potential of AI and embrace programs that will help build their skills to avoid slowing career advancement.

 

Exclusivity Could Expose Companies to Risk

 

Despite a growing focus on upskilling and its potential benefits, most employers (72%) admit they do not provide company-paid upskilling to all workers. Instead, many say they prioritize employees based on their background or career trajectory, with 72% of employers stating they offer upskilling or reskilling to certain employees based on career trajectory and almost half (48%) admitting to upskilling or reskilling employees simply based on their individual background or identity. This selective approach leaves many workers without the necessary opportunities to advance their skills and careers.

This gap is particularly harmful for retention, as workers who are currently limited in their professional development options are actively seeking upskilling opportunities. In fact, 88% of those without access to upskilling say they would likely take advantage of these opportunities if offered.

Furthermore, this inadvertently exposes employers to additional risks, including the emerging gender gap in skilled workers. For example, women are less confident than men (51% vs. 65%) in their employer’s ability to train them on incorporating AI into their work. This disparity not only undermines gender equality but also results in a workforce inadequately prepared to manage the risks and opportunities presented by AI.

 

The Importance of Finding Solutions

 

As AI transforms both daily work and expectations for lifelong learning, the importance of upskilling and reskilling grows for both individual career trajectories and for organizations seeking to remain competitive. However, the challenge of inequitable access to learning resources threatens to deepen existing workforce disparities for generations, even as barriers such as insufficient time and money begin to diminish.

 

If AI training remains limited to select groups, this inequality is further exacerbated, placing undue emphasis on DIY exploration and neglecting the need for intentional risk management. To bridge this gap, it’s imperative employers take responsibility for upskilling their workforce, not only to mitigate potential threats but also to ensure a more inclusive and capable team.

 

"Employers carry a significant and acknowledged responsibility to prepare the workforce as AI increasingly shapes our world and the way we work” said Elise Awwad, president and CEO at DeVry. “By engaging all employees in AI training and emphasizing the tangible personal and professional benefits, employers can strengthen their team’s capabilities, leading to a skilled, committed and diverse organization that positively contributes to business outcomes."

 

Educational institutions, with flexible and customized programs for learners, such as DeVry, can help provide learning and development opportunities in a wide variety of fields. Employers should ensure their workforce can take advantage of these opportunities to avoid falling behind.

 

To read the full report, Closing the Gap: Upskilling and Reskilling in an AI Era, and actionable solutions for workers and employers, click here.

 

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About DeVry University 

DeVry University strives to close society’s opportunity gap and address emerging talent needs by preparing learners to thrive in careers shaped by continuous technological change. Founded in 1931, the university offers undergraduate and graduate programs onsite and online in Business, Healthcare and Technology. DeVry University is accredited by The Higher Learning Commission (HLC, www.hlcommission.org/). The university’s Keller Graduate School of Management is included in this accreditation. To learn more, visit devry.edu.