Managers Face Breaking Point as GenAI Transforms Their Workload

Generative AI (GenAI) has moved from Silicon Valley buzzword to workplace reality almost overnight. But as organizations race to deploy these tools, a critical question emerges: are employees actually ready for this transformation?

Perceptyx's new research, surveying over 3,600 employees across North America and Europe, reveals a workforce caught between optimism and caution. While enthusiasm for GenAI runs high, the data exposes concerning gaps in adoption, trust, and preparedness that could derail even the most ambitious AI strategies.

Who's Actually Using GenAI at Work, And Who's Being Left Behind?

The headline numbers suggest strong momentum: 57% of employees report using GenAI tools regularly, with another 16% interested but not yet engaged. But dig deeper, and a troubling pattern emerges.

Individual contributors, often the employees closest to day-to-day execution, are being systematically excluded from the GenAI revolution. Only 35% of ICs report regular GenAI use, compared to 68% of managers and 82% of executives. This is not so much an adoption gap as an equity crisis in the making.

The disparity extends to transparency and decision-making. Just 47% of individual contributors understand how their organization selects GenAI tools, versus 81% of executives. When the employees doing the actual work don't understand or have access to transformative tools, organizations risk creating a two-tier system where innovation happens at the top while execution stagnates below.

Industry differences compound the challenge. Finance and Professional Services lead adoption at 70-71%, while Hospitality (45%), Retail (46%), and Healthcare (47%) lag significantly behind. For organizations operating across sectors, this means managing multiple speeds of transformation simultaneously.

Why Don't Younger Employees Trust the AI Their Companies Deploy?

Perhaps the most paradoxical finding: Gen Z employees, despite being among the most enthusiastic GenAI users, show the least trust in organizational AI deployment. Only 62% trust their organization to use GenAI in alignment with company values, compared to 72-74% among other generations.

This trust deficit signals something deeper than generational skepticism. Younger employees see through surface-level adoption to question fundamental issues: How are these tools chosen? What safeguards exist against bias? Will AI augment their careers or replace them?

The data reveals these concerns aren't unfounded. More than half (53%) of all employees worry about discrimination in AI-driven decisions, and only 60% believe AI-supported decisions are fair. For younger workers who expect transparency and ethical leadership, these numbers represent red flags about organizational priorities.

Millennials occupy a particularly complex position. They show the highest GenAI usage (68%) and report the greatest productivity gains, yet simultaneously express the strongest concerns about bias and discrimination. As this generation moves into management roles, they're caught between championing adoption and safeguarding against its risks.

What's the Hidden Cost of GenAI for Managers?

While executives celebrate productivity gains, managers are quietly absorbing an unsustainable burden. The research reveals that 81% of managers say their workload has changed due to GenAI, and 84% report needing to learn new skills, all while being expected to guide their teams through transformation.

This "manager squeeze" represents one of GenAI's most overlooked risks. Managers aren't just adapting their own workflows; they're translating strategy into practice, addressing team concerns, ensuring equitable access, and maintaining performance—often without adequate support or recognition.

The strain shows in the data. While 77% of employees believe their manager is prepared to lead through GenAI change, only 64% say their manager actively helps the team adapt. This gap between perceived readiness and actual support suggests many managers are overwhelmed, potentially masking their own struggles while trying to project confidence.

For individual contributors, manager support directly correlates with GenAI confidence. When managers actively enable adoption, employees feel more prepared. When managers struggle, entire teams stagnate. Yet organizations continue to treat manager enablement as an afterthought rather than the lynchpin of successful transformation.

How Can Organizations Move from GenAI Theater to Real Transformation?

The path forward requires more than deploying tools and hoping for the best. Our research points to four actions:

Build radical transparency: Only 62% of employees say their organization has clearly communicated how GenAI will affect their role. This communication gap breeds anxiety and resistance. Organizations must explain not just what tools they're adopting, but why, how decisions are made, and what it means for individual careers.

Close the equity gap: With individual contributors lagging in access and understanding, organizations risk entrenching hierarchies rather than democratizing innovation. Ensure GenAI tools and training reach every level, particularly those doing frontline work.

Invest in manager enablement: Managers need more than talking points; they need dedicated time, training, and peer support to navigate their dual role as adopters and enablers. Consider manager workload when rolling out GenAI initiatives and provide forums for managers to share challenges and solutions.

Address the trust deficit: Younger employees' skepticism about organizational AI use won't disappear with better tools. It requires demonstrated commitment to ethical AI deployment, transparent governance, and clear safeguards against bias and discrimination.

What Does This Mean for Your Organization?

GenAI success depends less on the technology itself than on how organizations manage the human side of transformation. While 70% of companies report at least some GenAI integration, only 15% have achieved full integration, a gap that reflects not technological limitations but human and organizational challenges.

Regional differences add another layer of complexity. North American organizations report higher adoption but also greater job insecurity concerns, while European employees show strong latent interest but need more transparency and manager support to engage fully.

The generational divide demands particular attention. Organizations can't afford to lose the trust of younger employees who will drive future innovation, nor can they leave behind experienced workers whose expertise remains invaluable. Success requires meeting each group where they are with targeted support.

As GenAI reshapes work, the organizations that thrive won't be those with the most advanced tools but those that bring their entire workforce along on the journey. This means treating adoption as a change management challenge, investing in comprehensive enablement, and building the trust and transparency that turns skeptics into champions.

Employees are clearly ready for GenAI's potential yet remain wary of its implications. How organizations respond to these concerns — with genuine engagement or superficial deployment — will determine whether GenAI becomes a source of competitive advantage or organizational division.

Ready to dive deeper into what employees really think about GenAI? Download the complete "Beyond the Hype" report for comprehensive insights, industry breakdowns, and actionable strategies to guide your GenAI transformation.