Employers must address ‘fear of becoming obsolete’ as AI reshapes the workplace

WTW’s 2026 Employee Experience Global Market Study reveals 59% of employers expect AI to transform workplace dynamics within three years, while 59% of employees fear becoming obsolete due to automation. The report highlights a shift needed from measuring employee engagement to employee impact, with organizations adopting a High Impact Employee Experience (HIEX) approach to build trust, skills, and clarity amid technological shifts.
WTW’s 2026 Employee Experience Global Market Study found that 59% of employers anticipate AI will fundamentally alter how employee experience is managed within the next three years, rising to 89% over the next decade. Currently, 14% of work is handled through automation and digital tools, but this is expected to more than double to 31% within three years. This rapid change has fueled a growing fear among employees about becoming obsolete, as they question their relevance in an increasingly automated workplace. The study identifies a need for employers to shift focus from measuring employee engagement to assessing employee impact—how effectively workers execute and adapt to deliver results. WTW proposes a High Impact Employee Experience (HIEX) framework to address this challenge, emphasizing four key conditions: clarity on priorities and strategic connections, confidence in leadership decisions, capability through skills and tools, and a sense of value and belonging. Organizations excelling in these areas report superior outcomes, including a 23% increase in profits and 8% one-year revenue growth. These companies also see higher employee alignment, with 91% of employees strongly believing in the organization’s goals and 87% recommending it as a good workplace. The study, conducted in April 2026 with 549 global respondents representing 5.6 million employees, underscores that proactive measures—such as trust-building, skill development, and role evolution planning—can mitigate AI-driven anxiety. Jill Havely, WTW’s Global Employee Experience Leader, noted that intentional design of employee experience can replace uncertainty with confidence, ensuring workers feel valued in an AI-reshaped future. WTW, a data-driven consultancy serving 140 countries, argues that addressing employee fears requires deliberate strategies to align workforce readiness with technological advancements. The findings suggest that organizations prioritizing HIEX principles can achieve both financial and workforce resilience amid AI integration.
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