• 62% of Canadian employees worry AI is eroding their skills
• 54% of Canadian employees and 55% of Canadian CHROs say critical thinking and problem framing are among the skills that matter most in the AI era

MARKHAM, ON, Oct. 2, 2026 /CNW/ -- A new global study from the IBM (NYSE: IBM) Institute for Business Value points to a disconnect between the skills Chief Human Resource Officers (CHROs) say AI requires and those employees prioritize. While 68% of Canadian CHROs identify the ability to supervise, validate and override AI outputs as the workforce's most essential skill, only 29% of Canadian employees rank judgement as important.

The study,* which surveyed 1,500 CHROs and 8,800 employees globally, finds that 62% of Canadian employees worry about skills erosion, with critical thinking cited most often as declining. At the same time, Canadian CHROs identify critical thinking (55%) and human judgement (49%) as among the workforce's most important capabilities.

The findings also show that organizations creating the greatest value from AI are redesigning work, decision-making and workforce capabilities around people and technology. Globally, organizations that clearly define workflows as human-led, AI-assisted or AI-executed achieve 18% risk reduction and 20% quality improvement. Yet, 37% of Canadian organizations do not involve the CHRO when AI strategy is being defined.

"As AI becomes more deeply embedded in how work gets done, organizations have an opportunity to strengthen the human capabilities that matter most," said Brandon-Jo Mouna, Director, Human Resources, IBM Canada. "Critical thinking, judgement and the ability to challenge AI-generated outputs will become increasingly important as employees work alongside AI. Organizations that intentionally develop those capabilities will be better positioned to create value from AI while preparing their workforce for the future."

"Offering an organization a design framework for transformation is HR work. It's actually the HR work everyone aspires to," geneviève bich, Vice President, Human Resources (CHRO), METRO and Board member

Other key findings include:

Concerns about skills erosion reinforce the importance of judgement and critical thinking

• Among Canadian employees who worry about skills erosion, 69% say AI has already begun to erode at least some of their skills.
• Skills erosion ranks among Canadian CHROs' top concerns, cited by 45% of respondents.
• 54% of Canadian employees and 55% of Canadian CHROs say critical thinking and problem framing are among the skills that matter most in the AI era.
• Globally, where judgement is built into how work is done, 62% of CHROs report growing employee confidence in AI-enabled decisions; where it is not, 57% report confidence declining.

AI accountability gaps are impacting employees

• 39% of Canadian employees report that when something goes wrong with AI, the blame falls on them.
• 32% of Canadian CHROs say unclear accountability complicates AI deployment.
• 39% of Canadian CHROs report a joint roadmap with IT backed by a shared operating cadence, and 72% say they struggle to coordinate consistently across the C-suite.
• Globally, where the CHRO at least shares responsibility for which decisions remain human-led, 76% of employees feel safe to question or override AI recommendations, compared with 43% where HR is merely advisory.

AI gains are creating new pressure on the workforce

• 87% of Canadian CHROs believe AI adoption creates "invisible" work for employees, including validating recommendations, fixing mistakes, providing context and managing exceptions.
• 51% of Canadian employees say AI increases their work or their work goes unrecognized.
• 45% of Canadian CHROs say AI productivity gains are primarily reinvested for innovation or reskilling.

HR is expected to lead AI transformation, but its own adoption lags

• 63% of Canadian organizations make limited or no use of AI inside the HR function.
• Canadian CHROs rate HR's capabilities particularly low in AI literacy across the team (23%), AI performance measurement (20%) and change management for AI adoption (24%).
• At a global level, organizations with mature HR AI capability, including governance, architecture and measurement, are nearly twice as likely to report a higher number of positive business KPIs.

To view the full study, visit: https://www.ibm.com/thought-leadership/institute-business-value/en-us/c-suite-study/chro.

*Study Methodology:

The IBM Institute for Business Value, in collaboration with Oxford Economics, conducted two complementary surveys from April to June 2026. The first survey gathered insights from 1,500 CHROs and equivalent senior executives, including 75 Canadian executives,  responsible for workforce strategy on how they design work, culture and the workforce for an AI-enabled enterprise across 21 geographies and 23 industries. Executive respondents represented organizations of varying sizes and sectors, from USD250 million to USD123.7 billion in annual revenue or budget and from 200 to more than 880,000 employees. The second survey polled 8,800 full-time employees, including 452 Canadian employees, spanning 28 countries to capture their experience with AI at work. Additional analysis was conducted to identify organizations converting AI into growth versus those converting it into savings, segmenting organizations by strategic maturity based on capabilities and culture readiness.

The IBM Institute for Business Value, IBM's thought leadership think tank, combines global research and performance data with expertise from industry thinkers and leading academics to deliver insights that help business leaders make informed decisions. For more information, visit www.ibm.com/ibv.  To receive more insights, subscribe to the IdeaWatch newsletter: https://ibm.co/ibv-ideawatch.

Media Contact:
Lorraine Baldwin
IBM Canada Communications
lorraine@ca.ibm.com 

SOURCE IBM