A global survey by the Peninsula Group has found that Canadian small and medium-sized enterprises (SMEs) are the most hesitant to embrace artificial intelligence (AI) in the workplace, with only 23% of Canadian employers believing AI has the potential to positively transform operations.
The survey, which collected responses from 79,000 businesses across five countries, also revealed that more than half of Canadian SMEs are either unsure of the impact of AI or fear its negative consequences.
The survey results come amid growing interest in AI across the globe, particularly in sectors seeking to improve efficiency. However, concerns around security, legal compliance, and the potential loss of intellectual property are dampening enthusiasm for AI adoption among SMEs.
“AI continues to dominate the headlines, but it’s clear that businesses are still unsure of the balance between risk and potential,” said Alan Price, Chief Operations Officer at Peninsula Group. “As usage increases, so do the concerns. This shows that there is still considerable work to be done to reassure SMEs around the world.”
Despite a 50% increase in AI usage since last year, only one in ten Canadian SMEs currently incorporate AI regularly into their operations. In comparison, employers in Australia and New Zealand lead the way in AI adoption, while Irish employers are the least likely to use it.
Security risks were the top concern for businesses globally, with 47% of respondents highlighting this as their primary worry, a significant rise from 30% the previous year. Canadian SMEs, in particular, remain wary, with 35% of those using AI citing security risks as their biggest concern. Other areas of apprehension include the potential loss of intellectual property and fears that AI could undermine traditional ways of working.
Price pointed out that while many businesses recognize the potential benefits of AI, significant concerns remain. “With online security and data protection being a top priority for most employers, it’s not surprising to see heightened worries. Businesses are looking for more clarity and assurance when it comes to security and quality of output.”
Globally, the survey found mixed views on the future impact of AI on employment. One in four SMEs expect AI to reduce their workforce at some point, though many employers also see the technology as an opportunity to streamline processes and boost productivity. Despite these potential gains, there has been a decrease in the number of businesses that believe AI will revolutionize workplaces, coupled with a growing fear of the unknown.
Concerns over bias in AI systems were also raised. Some respondents expressed fears that AI is prone to bias, citing instances of AI being described as “racist” or “sexist.” These concerns highlight the need for further safeguards to ensure fairness and transparency in AI technology.
The survey findings suggest that while AI holds promise for certain administrative and creative functions, widespread adoption among Canadian SMEs remains a distant prospect, with most employers seeking more assurance before fully integrating the technology.
