Executives who see AI-driven headcount reduction as a primary business goal are significantly less likely to prioritize AI upskilling, according to new research from Businessolver.
The finding comes from Businessolver's 11th annual State of Workplace Empathy study, which surveyed 300 C-suite executives and 1,000 employees.
The research highlights a growing divide in how organizations approach AI. While some leaders are focused on using the technology to reduce costs and headcount, others are placing greater emphasis on preparing employees to work effectively with AI.
Executives focused on reducing headcount were half as likely to invest in AI upskilling as executives whose AI priorities did not center on workforce reductions.
Businessolver Chief AI Officer Sony SungChu said AI itself does not create business value without employees having the skills and confidence to use it effectively.
AI priorities differ across the C-suite
The research also found significant differences in how C-suite leaders view the risks associated with AI.
Among CIOs and CTOs, 88% said they were concerned that technology could outpace internal systems or workforce skills. Among CFOs, 63% expressed the same concern.
Investment priorities also differed. Executives who were not focused on headcount reduction were more than twice as likely to invest in predictive analytics compared with cost-focused executives.
The gap extended to other areas as well, including investments aimed at saving employees' time and reducing administrative workloads.
Businessolver also found a difference in attitudes toward workplace empathy. Thirty percent of executives focused on headcount reduction said being an empathetic organization gets in the way of their personal business goals, compared with 19% of executives who did not identify headcount reduction as an AI priority.
Employees report an AI skills gap
The research suggests that employees are not necessarily receiving the support they need as AI becomes more common at work.
Businessolver found that employees who were adequately trained were up to 1.5 times more likely to report stronger career progression, confidence and optimism.
At the same time, 39% of employees said AI had them worried about their future, while 31% were concerned they were falling behind.
Nearly half, 49%, said they had received no support in learning how to use AI.
The findings point to a gap between the speed of AI adoption and the level of support employees receive as their roles change.
High-growth companies face a sharper divide
The tension is particularly visible among organizations reporting significant financial growth.
Businessolver found that these organizations were twice as likely to identify AI-driven headcount reduction as a primary investment motivator. They also reported twice the incidence of layoffs, alongside higher recruiting activity.
At the same time, their investment in employee benefits was 13 percentage points lower.
The combination suggests that some fast-growing organizations are pursuing AI as part of a broader push for efficiency while continuing to hire in areas where new capabilities are needed.
The workforce question behind AI investment
The findings do not suggest that organizations must choose between AI-driven efficiency and employee development. They do, however, highlight a potential tension when workforce reduction becomes the dominant measure of AI value.
As AI changes job responsibilities and the skills employees need, organizations are also deciding how much they are willing to invest in helping their existing workforce adapt.
For HR and L&D teams, that makes AI upskilling part of a larger workforce planning question: whether organizations are primarily using AI to reduce work, or also preparing people to take on the work that emerges as roles change.
Businessolver CEO Jon Shanahan described the shift as both a challenge and an opportunity for organizations responding to rapid changes in the workplace.
The latest research suggests that the companies making the biggest AI investments may also need to pay closer attention to whether their employees have the skills and support required to work alongside the technology.
