HR leaders prioritise AI pilots over reskilling despite workforce risks

As artificial intelligence continues to transform business operations, HR leaders appear more focused on piloting AI initiatives than preparing their workforce for AI-driven changes. According to a recent survey by The Conference Board, only 7% of chief human resources officers (CHROs) have implemented reskilling strategies for roles where at least 25% of tasks are likely to be automated by AI.

Instead, a significant 62% of CHROs are prioritising AI experimentation by running pilots and use cases to enhance human capital management. While this approach reflects growing interest in leveraging AI for operational improvements, it highlights a concerning gap in workforce preparation.

The survey, which gathered responses from more than 80 CHROs during September and October 2024, reveals several key trends in how HR leaders are approaching AI integration. Thirty-six percent of CHROs are pushing for governance policies to mitigate risks associated with AI use, while 21% have started implementing AI literacy programmes to educate their workforce. Additionally, 20% are supporting the development of new roles requiring AI expertise.

Beyond AI, the survey’s broader findings on workforce sentiment remain stable. The Conference Board’s CHRO Confidence Index for Q4 2024 registered at 54, a slight dip from 55 in Q2. Despite a small decline in hiring and retention expectations, optimism around employee engagement is on the rise, with 42% of CHROs expecting improved engagement levels in 2025.

Hiring expectations fell, with the hiring component of the index dropping to 54 in Q4 from 59 in Q2. Only 37% of CHROs plan to increase hiring over the next six months, down from 41% in Q2. Meanwhile, 19% expect to decrease hiring, a noticeable increase from 11% in Q2.

Retention expectations remained relatively stable, with the retention component slipping slightly to 53 in Q4 from 54 in Q2. However, year-on-year improvement is evident, as the index was at a low of 51 in Q4 2023. Notably, 34% of CHROs expect improved retention in the coming months, up from 31% earlier in the year.

CHROs expressed greater optimism about employee engagement. The engagement component of the index rose to 55 in Q4 from 53 in Q2, with 42% of respondents predicting increased engagement levels in 2025. Only 24% expect engagement to decrease, a marked improvement from 27% in Q2.