HR must remember that ‘AI will unlock innovation, but humanity will sustain it’

Two years since generative AI burst onto the scene, it has transformed from a trending buzzword into a cornerstone of business strategy – becoming a top priority for HR leaders.

According to new research by LinkedIn, 83 per cent of business leaders in Australia have said that helping their organisations speed up AI adoption is their strategic priority in 2025.

This priority places organisational HR teams in a delicate balancing act of accelerating technological adoption while taking care of the irreplaceable human skills that are still incredibly relevant to Aussie businesses.

Across Australia, hiring for AI talent has surged by 240 per cent over the past eight years, reflecting a seismic shift in workforce demands. The data projected that the skills required for Australian jobs will evolve by 66 per cent by 2030 compared to 2016, with AI alone driving an additional 16 per cent of this change.

As technical prowess grows in demand, human skills are becoming the differentiator. Nearly half (47 per cent) of Australian HR professionals reported that fewer than half of job applicants meet all qualifications, with soft skills like communication (37 per cent), leadership (35 per cent), and technical expertise (31 per cent) topping the list of hiring challenges.

“AI is reshaping how we hire, but the real work lies in making it work for the business,” said Adam Gregory, LinkedIn’s senior director for ANZ Talent and Learning Solutions.

“Without the right talent to unlock AI’s potential, companies risk turning innovation into a missed opportunity. Creativity, collaboration, and communication will remain the keys to staying ahead.”

To bridge the gap, businesses are doubling down on development. Seventy-nine per cent of Australian HR leaders rank upskilling as a top 2025 priority, with 70 per cent focusing on AI training and 77 per cent on soft skills. Forty per cent of executives also cited investment in AI learning programs as critical to adoption, with the data showing that AI skill listings on profiles have skyrocketed since 2016.

Many teams themselves are turning to AI to streamline workflows. Fifty-nine per cent of Australian recruiters spend one to three hours daily sifting through applications and 52 per cent believe AI can accelerate hiring.

It presents a clear message for both HR and business leaders. AI adoption is inevitable, but its success hinges on human ingenuity. As Gregory said: “AI will unlock innovation, but it’s humanity that will sustain it.”

For Australian businesses, the future lies not in choosing between technology and talent but in cultivating both.