The Human Element

While AI’s impact on the workplace is still unfolding, companies can’t afford to take a “wait-and-see” approach. Organizations must explore and take advantage of the opportunities AI presents in the current landscape, quickly outlining their AI transformation, all while actively building a workforce that embodies their future vision.

Many companies are racing to adopt artificial intelligence, yet employees feel unprepared. In fact, 93% of Fortune 500 CHROs say their organizations have begun using AI tools, but only one-third of employees seem to be aware of the integration.

This gap between leadership’s plans and employees’ awareness is where HR’s strategic role shines. Given the crucial role HR leaders play in driving workforce transformation, it’s essential that they also foster AI fluency within their organizations to fuel that evolution.

It’s up to HR to foster a culture that embraces AI as an aid, not a threat. 

Let’s explore how HR can champion AI fluency across a diverse workforce, infuse AI into the company culture responsibly, and address the practical challenges (and fears) that come with this workforce transformation.

What Is AI Fluency?

“AI fluency” refers to the ability to understand, critically evaluate, and effectively use AI tools and technologies. For employees, understanding the basics of AI  is essential to navigating the evolving workplace and staying ahead of their roles' changing expectations. By 2030, 70% of the skills used in most jobs today will change, a trend fueled by the accelerated pace of technological change. A few key AI concepts can empower workers across industries, from prompt writing and engineering to machine learning and natural language processing (NLP).

AI Is Reshaping Work, and HR Is at the Helm

AI adoption is accelerating across industries. Companies see AI as a path to boost efficiency and innovation, with 65% of HR leaders saying they believe AI can improve the performance of most roles in their organization​. Early results are promising: nearly half of employees who use AI say it has already improved their productivity and efficiency in their role​.

Yet alongside the enthusiasm, there’s acknowledgement of disruption. New jobs are emerging, from AI prompt writers to AI ethicists, requiring skills that barely existed a few years ago. A Deloitte study even estimates that by 2031, 80% of new jobs will require AI fluency in some form. In short, every industry and job level will feel some impact of AI, whether it’s tools to make work easier or entire tasks being redefined.

But AI training isn’t reaching enough people yet, with 86% of workers believing they will need AI training, but only 14% of frontline employees have received any upskilling so far​. In another poll, more than half of employees (53%) admitted they don’t feel prepared to work with AI-based systems at all. That’s a lot of people feeling left behind by the rapid change.

This workforce transformation puts HR front and center. Building AI fluency can turn this challenge into an opportunity. Companies that invest in upskilling and change management are already seeing better outcomes. Deloitte found that organizations with the strongest AI outcomes display common characteristics, including high levels of organizational trust and data fluency. In other words, when people are supported, an AI initiative can be more effective.

6 Ways to Build a Culture That Embraces AI

Technology shifts can shake even strong cultures. HR plays a key role in making sure AI doesn’t spark fear, it sparks curiosity and momentum. That starts with building trust. Employees need to know AI is here to make their work more efficient, more engaging, and in many cases, more impactful. Part of implementing AI in a responsible way involves being clear with your workforce about how you intend to use AI and how that may change workforce needs. 

The companies seeing early success with AI aren’t just investing in the tools; they’re investing in their people. They’re communicating clearly, training intentionally, and framing AI as a partner, not a threat.

Here’s how HR can help build a culture that’s ready for it:

1. Start with the ‘Why’ and ‘How’: AI adoption shouldn’t feel mysterious. Help employees understand the purpose behind the tech. What problem is it solving? How will it change their day-to-day? Explain how tools support the work they’re already doing and help them focus on more strategic, high impact initiatives. Clear communication reduces resistance and builds trust early.
2. Create Safe Spaces to Learn: Most people won’t raise their hand in a big meeting to ask, “Wait, how does this thing actually work?” That’s why learning needs to be approachable and low-pressure. Set up peer groups, office hours, or internal workshops where teams can test tools and ask questions. Encourage play by enabling employees to dive into tools and explore how they work, and encourage innovation by letting employees find ways to improve their work with AI. Normalize not knowing everything yet.
3. Let Leaders Go First: Culture change starts at the top. When execs and managers talk about how they’re using AI: and what they’ve learned, stumbled through, or improved, it signals that experimentation is encouraged. It also shows that continuous learning isn’t optional or extra. It’s part of everyone’s job now.
4. Address Concerns Directly: Some employees will be excited. Others will be uneasy, and that’s normal. Create real space for questions, and don’t spin tough answers. Acknowledge what’s unknown. Be clear about what won’t change. When employees see transparency in how AI is being used and how it isn’t, they’re more likely to lean in.
5. Make AI Part of the Company’s DNA: AI literacy isn’t just a one-time rollout. It should show up in onboarding, competency models, team goals, and internal comms. Celebrate small wins. Share how teams are using AI in creative or time-saving ways. Over time, AI becomes another familiar way to get work done, like spreadsheets or Slack.
6. Invest in Change Management: AI adoption isn’t just about the software. It’s about readiness. HR can drive structured change efforts. Think: department-level champions, pulse checks, or training on resilience and adaptation. Companies that do this well are far more likely to see results. More importantly, their people feel supported along the way.

HR’s Playbook for Leading Through AI Transformation

HR sits at the intersection of people and transformation, and with AI reshaping how work gets done, that role is more important than ever.

SHRM finds that 92% of HR leaders are involved in their company’s AI implementation. Here’s what that leadership can look like.

• Forecast how roles will shift and ensure the workforce is ready. As demand grows for tech and data skills, HR can identify which roles will evolve, where new ones will emerge, and how existing talent can be reskilled. AI isn’t just a tech investment; it’s a workforce transformation. HR should be shaping that roadmap from the start.
• Embed AI literacy into everyday learning. Most employees are still early in their AI journey. HR can lead by weaving foundational AI education into L&D and tailoring deeper training to different roles. Start with business goals, then map back to the skills required so learning is always tied to impact.
• Help people navigate the transition with clarity, empathy, and confidence. AI introduces new ways of working, which can be exciting and  overwhelming. HR can guide teams through the shift by setting expectations, listening to concerns, and preparing managers to lead by example. In the age of AI, says Dr. Mary Hayes, Research Director People and Performance, ADP Research, “workers want certainty, but this could be a good opportunity for leaders to communicate that ‘We are figuring this out together.’”
• Foster a mindset of experimentation, not fear. Adoption depends on how AI is framed. HR can influence the narrative by normalizing learning, spotlighting internal success stories, sharing news of other companies’ AI initiatives, and building trust through transparency. A culture that embraces change will be more prepared for what’s next.

What AI Literacy Looks Like in Practice

Getting AI tools into people’s hands is one thing. Helping them actually use those tools with confidence, responsibility, and curiosity is something else entirely.

Companies building AI literacy successfully tend to follow a few key practices, focused not just on tech adoption, but on building real capability across the organization. Here’s what that can look like:

• Start with the basics. Before expecting teams to use AI tools effectively, they need a shared understanding of what the tools are, how they work, and when (and when not) to use them. Provide employees with guidance on responsible AI use, with information on what could be considered an everyday AI use case versus one that could be risky from a privacy or safety perspective.
• Prioritize manager training. Managers play a critical role in helping teams adopt new tools, and they need support too. Equipping managers early gives them the context, language, and confidence to guide their teams. They don’t need to be AI experts, but they do need to be able to spot opportunities, answer basic questions, and model a healthy approach to experimentation.
• Create opportunities for hands-on learning. Formal training has its place, but peer learning often moves the needle faster. Small group sessions, “AI playgrounds,” or internal hackathons give employees space to try, fail, and figure things out together. The goal isn’t to master the tool overnight—it’s to demystify it. When experimentation feels low-risk and collaborative, learning tends to stick.
• Emphasize employee ownership of AI learning. When teams see AI as something done with them, not to them, adoption improves. That shift comes from leadership framing AI as a tool to remove the tedious, amplify strengths, and unlock time for higher-value work—not as a cost-cutting mechanism or replacement plan.
• Focus on the outcomes. When AI literacy is treated as a company-wide capability and not just a tech rollout, employees get better at identifying the right use cases, using tools responsibly, and working alongside AI in a way that actually improves performance. Teams feel empowered, not overwhelmed, and the organization moves forward together, with both the tools and the mindset to make the most of what AI can offer.

Why AI Fluency Matters for Working with AI Agents

Agentic AI, or AI that can take action, make decisions, and operate little human oversight or involvement, is quickly becoming part of how work gets done. From answering support tickets to drafting reports, agents and digital teammates are designed to free up time and accelerate output.

But to use them well, employees need more than access; they need understanding. AI fluency helps teams recognize where AI agents add value, how to use them responsibly, and when to stay involved. That clarity builds trust and unlocks impact.

HR plays a key role here. By promoting AI literacy, creating safe spaces for experimentation, and offering hands-on training, HR helps employees feel confident, not fearful, about working with AI.