BusinessLeft Behind by the Algorithm: AI Benefits Bosses, But Workers Struggle to...

Left Behind by the Algorithm: AI Benefits Bosses, But Workers Struggle to Keep Up

• Senior managers are far more likely to use AI than junior staff, new study finds

• 73% of leaders use AI each month, compared with just 32% of entry-level workers

• Millennials—not Gen Z—are the leading workplace adopters of AI

• Poor AI rollout across businesses is associated with a 50% dip in productivity

Employment Hero’s latest Work that Works report has revealed a stark digital divide across UK workplaces. It shows that while AI is transforming the way senior teams operate, many employees are being left out of the revolution altogether.

The data shows 73% of senior managers engage with AI monthly, yet just 32% of those in entry-level roles do the same. This trend suggests that AI tools are disproportionately used by those in leadership, while junior workers receive little benefit.

Interestingly, the generational narrative also shifts. Millennials, often considered the “bridge generation” between digital and analogue, are leading AI usage in the workplace—beating out Gen Z, who are often thought to be the most tech-savvy.

The divide is not just generational—it’s structural. With AI tools and strategies concentrated among top-tier staff, many employees are left without the resources or training to use these systems effectively.

One business leader put it plainly: “The installation of AI and making employees aware about how to use it, is the biggest challenge for our business nowadays,” noted the Head of People at a medium-sized firm.

The consequences of uneven AI implementation are significant. The report links poor AI rollouts to serious losses in output, with staff excluded from AI reporting a 50% drop in productivity. Companies that fail to introduce AI thoroughly risk stalling progress.

The gap widens further in smaller organisations. Companies with fewer than 50 employees are considerably less likely to adopt AI systems—even as digital technology is acknowledged as vital to productivity growth.

When compared to their larger counterparts, small firms are:

  • 28% less likely to allocate funding to new technology

  • Less inclined to build technical skill sets in their workforce

  • Frequently stuck in “survival mode” rather than future-proofing

These businesses face mounting risks if they cannot bridge this digital gap.

Yet, despite fears about AI displacing jobs, the report paints a more encouraging picture. Among employees using AI regularly, 40% say they feel less stressed, and 38% believe their output quality has improved.

Kevin Fitzgerald, UK Managing Director at Employment Hero, calls for widespread and inclusive AI adoption:

“AI is only delivering productivity gains for some, and that’s a huge problem.”

“For technology to drive meaningful change, it needs to be in the hands of everyone. That means investing not just in access to tools, but in the training, support and confidence people need to actually use them.”

“We need a trickle-down, human-centred approach to AI adoption. One that starts with leadership, but quickly and intentionally reaches every corner of the business.”

“Closing the AI advantage gap is essential – not just for the success of individual companies, but for improving productivity across the UK economy.”

News Desk
News Deskhttps://www.businessmanchester.co.uk/
The Business Manchester News Desk team is a collective of experienced journalists and editors dedicated to delivering comprehensive business news and insights from the Manchester area and beyond. With a strong background in finance, technology, property, and innovation, our team ensures that our readers stay well-informed about the latest trends and developments in the business world. Through in-depth reports and insightful analysis, the Business Manchester News Desk team is committed to providing high-quality journalism to its audience.
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