Nearly half of Canadian workers are using generative artificial intelligence in their jobs, but many are inadvertently risking their employers’ data security by inputting sensitive information into public AI tools, according to a new survey by KPMG in Canada.
The Generative AI Adoption Index survey found that 46 per cent of Canadian employees have adopted generative AI, up from 22 per cent last year. The index score now stands at 31.6, reflecting a 116 per cent growth rate since November 2023, with a score of 100 indicating mass adoption.
However, the survey of 2,183 employees revealed that 24 per cent of users have entered proprietary company data—such as human resources or supply chain information—into public generative AI platforms, up from 16 per cent in 2023. Additionally, 19 per cent reported inputting private financial data about their company, an increase from 12 per cent.
“It’s great to see such a surge in employee adoption because we know generative AI boosts productivity, but employers really need to get ahead of this to ensure their employees don’t unintentionally release private or confidential data,” said Lewis Curley, partner in KPMG’s People and Change practice in Canada.
“If organizations don’t implement guardrails and provide training around generative AI use, employees could inadvertently enter sensitive company data into generative AI tools, causing risks for their employers,” Curley said.
While over half of users (51 per cent) said their employer encourages the use of generative AI by integrating it into project checklists, nearly 37 per cent reported being unaware of any controls from their employer over its use.
“Not only is it crucial for organizations to have policies in place, but they must also clearly communicate those expectations to their people,” Curley said.
How AI is being used
The survey indicated that Canadians are primarily using generative AI for generating ideas (33 per cent), conducting research (30 per cent) and writing emails to colleagues (26 per cent).
Megan Jones, a director in KPMG’s People and Change practice, said business leaders need to start viewing generative AI as more than just a personal assistant if they want to stay ahead of the competition.
“We’re seeing the trend of using generative AI for basic tasks flowing over from personal use into the workplace, but this is low-hanging fruit compared to the true potential it has to drive business value,” Jones said. “If they don’t want to be left behind, leaders need to not only see AI as a tool for efficiency but also one that is high value-add by embedding it into the core functions of the business to enhance decision-making, streamline workflows and create new opportunities for growth.”
Despite the widespread use of generative AI, few employers have comprehensive policies in place. Fewer than two in 10 employees said their employer has a comprehensive policy, with the majority describing their employers’ policies as vague, non-existent or discouraging the use of generative AI.
Jones said organizations that discourage employee use of generative AI are missing a key opportunity to foster a culture of innovation and future-proof their workforce.
“As part of implementing new technologies, business leaders have a responsibility to examine what type of work is going to exist at the organization in the future and start reskilling their people for it now,” she said. “Taking a proactive approach not only puts organizations in the position to have more highly skilled people, but it also helps to ensure the workforce is using generative AI tools properly and effectively.”
Freeing up human capital
The survey also found that more than half (52 per cent) of employees say generative AI saves them between one to five hours of work per week. While the majority (68 per cent) are spending that saved time on high-value tasks and brainstorming new ideas, 22 per cent are using it for activities like exercising or running errands.
“Generative AI is a great way for organizations to free up human capital, but if they want to use that to drive specific business outcomes then they need to purposefully and clearly communicate how they expect employees to use their time,” Curley said. “Our survey shows people are spending more time brainstorming, which is great because it gives them the opportunity to do more creative and meaningful work during the day.
“While the technology can eliminate repetitive job duties, leaders should be cautious about completely replacing them with high-value tasks. Sometimes work that’s deemed low value, like data entry, provides a mental break for employees and can help avoid burnout. If organizations are not intentional about how they expect employees to use generative AI within their roles, they will not unlock its full productivity benefits.”
About the survey
The KPMG Generative AI Adoption Index measures the use of generative AI tools among Canadian employees and is weighted on frequency of use, with a score of 100 indicating mass adoption. The index is based on a survey conducted from Aug. 6 to 21, 2024, using Sago’s Methodify online research platform. The survey polled 2,183 employees aged 18 and over. The index score for 2024 is 31.6, an increase of 17 points since 2023. The margin of error is plus or minus 3 percentage points, with a confidence level of 95 per cent.
