One in four Australian workers banned from using AI at work

A new report from EY has shown that a significant proportion of Australian workers are being prohibited from using artificial intelligence (AI) tools at work, despite widespread adoption and interest among the broader workforce.

The findings, outlined in the EY Australian AI Workforce Blueprint, reveal that one in four (26%) Australian employees who use computers as part of their daily role are not permitted to use AI by their employer. The report is based on a national survey of 1,003 workers and investigates the current workplace use of AI, associated concerns, and the extent of related support and training.

Concerns over data and regulation

According to the report, concern over potential breaches of data or regulatory rules is prevalent among the workforce, with almost three-quarters (72%) of respondents expressing worry about this issue. Despite a majority of workers (68%) reporting that they currently use AI in some capacity, many remain cautious and unsure about the boundaries of its use.

The report also found that nearly half of all surveyed employees (42%) have not been provided with a clear reason or purpose for using AI in their roles, leading to confusion and hesitation around when and how to engage with these tools.

"There's a trust crisis unfolding in Australian workplaces. Workers are enthusiastic about AI and are benefiting from immediate productivity gains, yet lack confidence as leadership are not providing clear guidance, training or support.

"The findings of our latest research reveal the importance of adopting a human-centric approach towards AI in the workplace and how this can help build trust and confidence, rather than causing concern."

These comments from Katherine Boiciuc, EY Regional Chief Technology and Innovation Officer, Oceania, highlight the underlying issues in deploying AI within current workplace cultures.

Productivity gains amid limited training

Despite existing barriers, a substantial segment of the workforce is interacting with AI frequently; 26% said they use it daily, and 64% believe the technology has had a positive impact on their work. Among those who use AI daily, nearly a third (30%) report saving four or more hours per week, suggesting strong potential productivity benefits.

However, only one-third (35%) have received any formal AI training from their employer. Worker readiness and overall AI proficiency are further hampered by a lack of employer-driven support and direction, with 54% of employees self-reporting low confidence in their use of AI at work. Two-thirds (66%) indicated that they would like their employer to provide more formal AI training.

The most desired areas for support include basic AI interactions, creating effective prompts, the ethical use of AI, utilising simple AI agents, and fostering continuous learning.

"Workers want to use AI and are already showing signs of unlocking productivity. The reality is that change won't come from just offering training, it's about changing the culture. Leaders must go beyond formal training and foster a culture of experimentation, learning and AI fluency,"

added Boiciuc, identifying cultural change as key for effective AI adoption.

Gaps by sector and generation

Differing skill levels and rates of adoption are evident across both industry sectors and generations. The research found the public sector has the lowest reported AI proficiency (29%), whilst workers in industrials and energy sectors have higher confidence (39%).

Generational divides are also pronounced. The average proficiency level across the workforce was low, at 32 out of 100, but varied markedly by age group. Generation Z workers reported the highest proficiency (46%), with Millennials at 37%, Generation X at 25%, and Baby Boomers demonstrating the lowest confidence (18%).

Generative text platforms were identified as the most widely used AI tool among Australian workers, utilised by 40% of respondents. These platforms are most frequently deployed for research, administrative tasks, and work planning. Virtual assistants are also increasingly used for similar purposes and are expected to become more integrated into everyday workflows.

Workplace culture and future steps

The findings suggest that while the uptake of AI tools is growing, many Australian organisations are yet to implement consistent policies or provide sufficient support for employees navigating new technologies. According to Boiciuc, creating a supportive environment with clear guidelines and a focus on continuous learning and adaptation is vital for realising AI's benefits while minimising risk and workforce anxiety.

The survey was conducted using a stratified random sampling method, aligning participant demographics with national census data to ensure representativeness across age, gender, and location.