AI AND THE WORKFORCE

PARLIAMENT ASKS THE QUESTIONS EMPLOYERS SHOULD ALREADY BE ASKING

The House of Commons Business and Trade Committee has launched a new inquiry into artificial intelligence and its impact on businesses and the workforce. Opened in March 2026, it aims to "better understand the opportunities and costs" of AI and to shape Government priorities in this fast-moving area.

For employers, the inquiry is a signal worth taking seriously.

AI is no longer an emerging technology, it is already reshaping how work gets done across most sectors. Advances in computing power and large language models mean AI can now perform tasks that, not long ago, required significant human input. Many businesses are already deploying it to drive productivity and reduce costs.

But the Committee's focus is not just on opportunity. A central concern is what happens to the workforce. The evidence suggests a mixed picture: AI is likely to create new roles and boost output, but it is also expected to displace jobs — particularly at entry and graduate level. It is this tension that Parliament now wants to examine closely.

The inquiry will look at how the UK can "lead the AI revolution" while ensuring workers have the skills and protections they need. Reskilling, in particular, is likely to feature prominently, given Government ambitions to train millions of workers in AI capability over the coming years.

What does this mean for employers?

Three things stand out. First, workforce planning needs to keep pace. Employers should be identifying which roles are likely to change, and where redeployment or upskilling may be needed. Second, how AI is used in the workplace is attracting increasing scrutiny: fairness, transparency and employee consultation are all areas where employers can get caught out. Third, regulatory change is coming. The Committee's recommendations may well inform new legislation or guidance on AI governance and employment rights.

The practical message is straightforward: don't wait. Audit your current and planned use of AI, assess the impact on your people, invest in training, and communicate clearly with your workforce. Those who are proactive will be better placed — both to manage risk and to get the most from what AI genuinely offers.

We will monitor the inquiry closely and report back as it develops. In the meantime, if you would like to discuss how AI-related changes might affect your organisation, please get in touch.