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AI Skills Shortage Deepens as Enterprise Demand Grows Faster Than Talent Supply

 

The shortage of skilled professionals in artificial intelligence is becoming a major concern for enterprises, as organizations race to adopt the technology without a matching increase in qualified talent. The latest Harvey Nash Digital Leadership report, released by Nash Squared in May, highlights a sharp rise in demand for AI skills across industries—faster than any previous tech trend tracked in the last 16 years. 

Based on responses from over 2,000 tech executives, the report found that more than half of IT leaders now cite a lack of AI expertise as a key barrier to progress. This marks a steep climb from just 28% a year ago. In fact, AI has jumped from the sixth most difficult skill to hire for to the number one spot in just over a year. Interest in AI adoption continues to soar, with 90% of surveyed organizations either investing in or piloting AI solutions—up significantly from 59% in 2023. Despite this enthusiasm, a majority of companies have not yet seen measurable returns from their AI projects. Many remain stuck in early testing phases, unable to deploy solutions at scale. 

Numerous challenges continue to slow enterprise AI deployment. Besides the scarcity of skilled professionals, companies face obstacles such as inadequate data infrastructure and tight budgets. Without the necessary expertise, organizations struggle to transition from proof-of-concept to full integration. Bev White, CEO of Nash Squared, emphasized that enterprises are navigating uncharted territory. “There’s no manual for scaling AI,” she explained. “Organizations must combine various strategies—formal education, upskilling of tech and non-tech teams, and hands-on experimentation—to build their AI capabilities.” She also stressed the need for operational models that naturally embed AI into daily workflows. 

The report’s findings show that the surge in AI skill demand has outpaced any other technology shift in recent memory. Sectors like manufacturing, education, pharmaceuticals, logistics, and professional services are all feeling the pressure to hire faster than the talent pool allows. Supporting this trend, job market data shows explosive growth in demand for AI roles. 

According to Indeed, postings for generative AI positions nearly tripled year-over-year as of January 2025. Unless companies prioritize upskilling and talent development, the widening AI skills gap could undermine the long-term success of enterprise AI strategies. For now, the challenge of turning AI interest into practical results remains a steep climb.

AI's Impact on the Job Market: 12 Million Occupational Transitions by 2030

 

Artificial Intelligence (AI) is set to transform the job market profoundly over the next decade. According to a comprehensive report by McKinsey, AI will result in approximately 12 million occupational transitions by 2030. This shift is anticipated to match the pace of job changes witnessed during the COVID-19 pandemic, marking a significant period of adaptation and evolution in the workforce. Kweilin Ellingrud, a senior partner at McKinsey and director of its Global Institute, shared these critical insights during the firm’s recent media day. 

The demand for skilled professionals in these areas is likely to increase as AI technologies enhance capabilities and create new opportunities for innovation. These roles often involve repetitive tasks, data collection, and basic data processing, making them prime candidates for automation. AI’s ability to handle these functions efficiently means that many of these jobs will likely see a decrease in demand, prompting a significant need for workers in these areas to transition to new roles. 

Ellingrud noted that many roles in these categories are at high risk of automation. This substantial shift underscores the importance of workforce adaptation and the development of new skills to meet the demands of an AI-driven job market. Despite these significant changes, the report, as highlighted by Business Insider, emphasizes that all workers should prepare for some level of adaptation. The widespread adoption of generative AI and traditional automation technologies will impact about 30 percent of tasks in many current jobs. This means that nearly everyone will need to adjust their work practices to accommodate the new technologies, regardless of their industry or job function. Ellingrud emphasized the need for workers to be proactive in adapting to these changes. 

For instance, roles that require complex problem-solving, interpersonal skills, and innovative thinking are less likely to be automated and will remain essential in the AI-augmented job market. Adapting to these changes will require coordinated efforts from businesses, educators, and policymakers. Businesses will need to invest in training programs and provide opportunities for workers to reskill and upskill. Educators will play a critical role in designing curricula that prepare students for the demands of an AI-driven job market, focusing on skills that are less likely to be automated. 

Policymakers will need to create supportive frameworks that facilitate these transitions, including incentives for businesses to invest in workforce development and policies that promote lifelong learning. In conclusion, the rise of AI is set to bring about significant changes in the job market, with around 12 million occupational transitions expected by 2030. 

While certain sectors like healthcare and STEM are poised for growth, many roles involving repetitive tasks are at high risk of automation. This shift necessitates a comprehensive approach to workforce development, emphasizing continuous learning and skill acquisition. Support from businesses, educators, and policymakers will be crucial in facilitating a successful transition, ensuring that the workforce is prepared for the opportunities and challenges of an AI-driven future.

Experts Predict AI to Create Job Opportunities in Energy Sector

 

The latest the findings from Airswift's ninth annual Global Energy Talent Index (GETI) survey show a significant shift in opinion of the impact of artificial intelligence (AI) on the employment market in the energy industry. Contrary to popular belief, more than 90% of questioned experts believe AI will increase the necessity for human skills ranging from technical proficiency to creativity and problem-solving ability. Furthermore, nearly half of respondents (46%) believe that AI deployments will lead to higher earnings.

The survey, which includes insights from 12,000 professionals in 149 countries, highlights the numerous perceived benefits of AI integration in the workplace. The predicted increase in productivity is the most important of these benefits, according to 74% of respondents. Furthermore, 60% feel that AI will improve their career prospects and job satisfaction.Notably, more than half of the participants (54%) are optimistic about improved work-life balance, noting AI's ability to streamline activities and free up more leisure time. 

AI concerns and hurdles 

Despite the general optimism, professionals raise concerns about AI's impacts in the workplace. The perceived lack of human touch associated with AI is the most common fear, according to 42% of respondents. Moreover, 33% of respondents expressed concerns about potential misuse or inadequate adoption due to insufficient training. Cybersecurity issues are also a source of conflict, with 30% expressing concern about potential vulnerabilities.

Furthermore, the survey indicates a significant gap in AI policies among workplaces. Half of the respondents say their organisations do not have AI policies, while 17% are unsure whether such regulations exist. Only 52% of respondents who acknowledge the presence of AI policy confirm coverage of critical areas such as data protection and security. 

Professionals report various challenges to widespread AI adoption, such as ambiguity about appropriate AI tools and a perceived lack of investment. Despite these limitations, the overall sentiment remains positive, with 82% of respondents believing AI has the ability to improve the energy sector.

While 82% of energy professionals are optimistic about AI's potential, substantial impediments prevent widespread deployment. Among these challenges are concerns about which AI technologies to utilise and a perceived lack of investment in AI initiatives. These constraints lead to a slower rate of AI integration in the energy sector, with only 24% of oil and gas personnel now using AI technologies in their jobs.

Sector-specific data 

The survey analyses sector-specific perceptions of AI integration. Notably, professionals in the nuclear energy sector have a particularly positive perspective, with 69% expecting AI to drive productivity gains in the next two years. In contrast, individuals in the oil and gas sector report the lowest levels of AI integration, with only 24% incorporating AI technologies into their employment.

The GETI report provides insight into how AI use is changing in the energy sector and highlights professionals' varied points of view. Though there is a lot of hope for AI's potential advantages, worries about how it may impact cybersecurity, legal frameworks, and the nature of jobs persist. In order to fully utilise the technology's potential to encourage innovation and long-term growth, the industry will need to take proactive steps to plug talent gaps, improve cybersecurity processes, and promote a culture of responsible AI adoption.

Rishi Sunak Outlines Risks and Potential of AI Ahead of Tech Summit


UK Prime Minister Rishi Sunak has warned against the use of AI, as it could be used to design chemical and biological weapons. He says that, in the worst case scenario, people are likely to lose all control over AI, preventing it from turning off. 

However, he notes that while the potential for harm in AI usage is disputed, “we must not put heads in the sand,” over AI risks.

Sunak notes that the technology is already creating new job opportunities and that its advancement would catalyze economic growth and productivity, though he acknowledged that it would have an impact on the labor market.

“The responsible thing for me to do is to address those fears head on, giving you the peace of mind that we will keep you safe, while making sure you and your children have all the opportunities for a better future that AI can bring[…]Doing the right thing, not the easy thing, means being honest with people about the risks from these technologies,” Sunak stated. On Wednesday, the government had released documents highlighting the risks of AI. 

Existential risks from the technology cannot be ruled out, according to one research on the future risks of frontier AI, the term given to frontier AI systems will be discussed at the summit. 

“Given the significant uncertainty in predicting AI developments, there is insufficient evidence to rule out that highly capable Frontier AI systems, if misaligned or inadequately controlled, could pose an existential threat.”

The paper also presents several concerning scenarios about the advancement of AI.

One warns of the potential backlash from the public, as their jobs are being taken by AI. “AI systems are deemed technically safe by many users … but they are nevertheless causing impacts like increased unemployment and poverty,” says the paper, creating a “fierce public debate about the future of education and work”.

In another case mentioned in the document, dubbed as the ‘Wild West,’ the illicit use of AI to commit fraud and scams leads to social instability as a result of numerous victims of organized crime, widespread trade secret theft by enterprises, and an increase in the amount of AI-generated content that clogs the internet.

“This could lead to ‘personalised’ disinformation, where bespoke messages are targeted at individuals rather than larger groups and are therefore more persuasive,” said the discussion document, cautioning of the potential decrease in public trust when it comes to factual information and in civic processes like elections.

“Frontier AI can be misused to deliberately spread false information to create disruption, persuade people on political issues, or cause other forms of harm or damage,” it says. In regards to the documents, Mr. Sunak added that among the aforementioned risks outlined in the document was also a risk of AI being used by terrorist groups, "to spread fear and disruption on an even greater scale."

He notes that reducing the danger of AI causing the extinction of humans should be a "global priority".

However, he stated: "This is not a risk that people need to be losing sleep over right now and I don't want to be alarmist." He said that, on the whole, he was "optimistic" about AI's capacity to improve people's lives.

The disruption AI is already causing in the workplace is a threat that many will be far more familiar with.

Mr. Sunak emphasized how effectively AI technologies do administrative duties that are typically performed by an employee manually, such as drafting contracts and assisting in decision-making.

He added that technology has always changed how people generate money and that education is the best way to prepare individuals for the shifting market. For example, automation has already altered the nature of employment in factories and warehouses, but it has not completely eliminated human involvement.

The prime minister encouraged people to see artificial intelligence as a "co-pilot" in the day-to-day operations of the workplace, saying it was oversimplified to suggest the technology will "take people's jobs".