Canadian employees outpace employers in adoption of AI tools at work
A new study has found that Canadian employees are adopting artificial intelligence tools in the workplace faster than their employers are able to govern or provide enterprise-level solutions.
The research, commissioned by IBM, shows that 79% of full-time office workers in Canada use AI tools at work, but only one in four depends on company-sanctioned, enterprise-grade AI applications. The remaining majority either mix personal and employer tools (33%) or use only personal AI apps (21%), a trend known as Shadow AI.
This shift is resulting in increased risks for Canadian businesses, including potential data leaks, compliance issues, and loss of control over sensitive information. Shadow AI-defined as the unsanctioned use of AI tools and applications without formal IT department oversight-has added an average of CAD $308,000 per data breach in the past year, according to IBM's 2025 Cost of a Data Breach Report.
Employee-driven change
IBM Canada's President and General Manager of Technology, Deb Pimentel, stated that employees are leading the move towards AI in the workplace.
"AI adoption in the workplace is no longer theoretical - it's happening, and it's being led by employees. To securely and efficiently harness the value of AI for smarter business operations, leaders should prioritize secure solutions, align AI with tangible business objectives, and foster a data-driven culture. The urgency for action is clear: lead with foresight, invest in robust data infrastructure, and unlock AI's transformative power to build a thriving future of work in Canada."
The study highlights that the benefits of AI are widely acknowledged by Canadian workers. Nearly all respondents (97%) said AI improves their productivity, and about four-fifths believe it helps them spend more time on strategic or creative tasks within their roles. Specifically, 61% cited faster task completion, 43% identified more efficient workload management, 40% pointed to improved accuracy, and 39% noted increased creativity.
More than half of those surveyed said they save between one and three hours per week thanks to AI, while 26% report saving as much as six hours.
Gap between workers and employers
Despite these positive sentiments, just 29% of employees felt their employers were using AI to its full potential. The gap is more noticeable among workers aged 45-54, where only 20% believe their workplace is making the most of AI. Employees also identified key areas where AI could provide value, including data analysis and reporting (60%), automation of repetitive tasks (55%), and content creation (37%).
This disconnect is not only a concern for productivity and compliance but may also affect staff retention. Almost half (46%) of employees said they would consider leaving their current job for another company that uses AI more effectively, with the figure rising to 62% among Gen Z workers.
Rob Wilmot, General Manager and Managing Partner at IBM Consulting Canada, commented on the emerging divide between employee expectations and business readiness:
"The AI workplace revolution, faces a significant gap between employee expectations and enterprise readiness. Without secure, enterprise-grade solutions, to transform core systems and processes, businesses risk productivity losses and data exposure as employees seek alternatives. Considered and focused action is needed to bridge this gap for Canadian enterprises to capture tangible productivity gains and robust data protection. The good news is that some leading companies are already doing this and capturing the value. Its real. Our collective challenge is to scale this thoughtfully but at speed."
Calls for responsible adoption
IBM's study points to several priorities for Canadian employers aiming to keep up with employee-led AI adoption. These include building a modern data infrastructure, integrating AI governance to manage risk and ensure compliance, and establishing responsible AI frameworks focused on explainability, fairness, and privacy. The report also emphasises the need to align AI use with real business goals and to invest in inclusivity and employee upskilling.
Internally, IBM reported leveraging its own watsonx platform and initiatives such as the "Client Zero" strategy to optimise HR, finance, and legal functions. For example, in 2024, IBM's AskHR virtual agent handled 11.5 million employee interactions and resolved 94% of common queries, while also contributing to cost reductions and new role creation.
The survey underlying the study was conducted by Censuswide among 4,000 office workers across the USA, Canada, Mexico, and Brazil who are familiar with AI tools. Results highlight the speed at which workplace AI use is evolving, often faster than formal structures and policies can be implemented, leaving Canadian enterprises with the task of safely harnessing productivity gains while minimising emerging risks.