C-Suite executives believe AI is key to increased productivity, yet most workforces are not ready to transform, according to Mercer’s 2024 Global Talent Trends Study

Mercer, a business of Marsh McLennan (NYSE: MMC), today released its 2024 Global Talent Trends Study. Drawing on insights from over 12,000 C-suite executives, HR leaders, employees and investors globally, the research reveals actions employers are taking to thrive in this new era.

“This year’s findings highlight staggering shifts at work,” said Pat Tomlinson, President, Mercer. “They point to a notable divergence between the views of the C-Suite and HR on what will carry business forward in 2024, and a lag in employees’ views on the impact of technology. As we usher in an age of human-machine teaming, organizations need to place people at the heart of transformation.”

Generative artificial intelligence (AI) viewed as key to increasing productivity

The rapid growth in generative AI capabilities has raised hopes for workforce productivity gains, with 40% of executives predicting AI will deliver gains of more than 30%. Yet, three in five (58%) believe tech is advancing faster than their firms can retrain workers, and less than half (47%) believe they can meet this year’s demand with their current talent model.

“Raising productivity through AI is top of mind for executives but the answer does not lie in technology alone. Greater workforce productivity requires intentional, human-centric work design,” said Kate Bravery, Mercer’s Global Talent Advisory Leader and author of the study. “Leading companies recognize that AI is just part of the equation. They are taking a holistic view to address drains on productivity and deliver greater agility through new models of human-machine teaming.”

There are challenges in finding a sustainable path to the future of work. Three in four (74%) executives are concerned about their talent’s ability to pivot and less than a third (28%) of HR leaders are very confident they can make human-machine teaming a success. Key to greater agility is embracing skills-powered talent models, something high-growth companies have already mastered.

Employee trust has declined across the board

In 2023, trust in employers fell from an all-time high in 2022 – a red flag, since the research shows that trust has a major impact on employees’ energy, sense of thriving and intent to stay. Those who trust their employers to do the right thing for them and society are twice as likely to say they are thriving, with a strong sense of purpose, belonging and feeling valued.