Is AI Enough to Keep Your Employees Engaged at Work?

AI is transforming work – but is it enough to keep employees engaged? Learn how to balance tech with human connection.

By India Snowdon

Artificial intelligence has had a big impact on the UK working world in 2025. As we enter 2026, an impressive 92% of business leaders plan to boost their AI investments.

AI can automate repetitive tasks, enhance creativity, and personalise learning. It is a key factor in improving productivity across various business sectors.

The question is, can AI actually improve employee engagement?

According to People Management, the UK has one of Europe’s least engaged workforces. Less than 10% of employees feel engaged in their roles.

While AI can make life easier for workers, can it solve the global engagement crisis? Let’s find out.

AI on The Rise in the Workplace

The UK AI landscape is quickly growing. The sector has generated over £23.9 billion in revenue and could provide a £47 billion boost to the economy. AI has the power to transform many business sectors in the coming years.

According to McKinsey, 80% of the largest companies currently use AI to improve at least one business function. While small businesses lag, over a third of mid-size UK businesses are adopting AI as we go into 2026.

However, despite high interest, only 20% of businesses see a return on their investment.

AI may be able to enhance workflows, but without human support, some initiatives struggle.

An Engagement Crisis on the Horizon

With only 10% of workers feeling engaged, the UK faces a major productivity crisis.

Engagement levels are well below pre-pandemic levels. This risks a whopping £293.5 billion annual cost to the economy.

A recent Gallup poll found that stress is a major factor in the country’s recent engagement decline. It revealed that 41% of workers say they feel stressed at work, and 17% feel angry. Researchers suggest that a lack of support is a key issue in this.

Could AI Offer the Solution?

As leaders look to address the UK’s engagement crisis, can AI help employees find a productive rhythm?

Let’s first take a look at some of the benefits AI could offer a disengaged workforce:

Task Automation: AI is a master at handling repetitive tasks. It can ease the burden on employees who are overwhelmed with their workload. It automates tasks like data entry, scheduling, and HR queries. This allows stressed employees to focus on high-priority tasks.
Improving Support: AI chatbots and virtual assistants provide 24/7 support. This streamlines access to information and reduces frustration.
Enhancing Learning: AI can identify skill gaps and personalise learning material for each employee. This promotes continuous development throughout the employee lifecycle. Since lack of engagement often comes from insufficient stimulation, AI-powered training helps employees take control of their own professional growth.
Real-Time Feedback: AI tools gather feedback and perform regular sentiment analysis. This helps managers better understand employee morale and recognise achievements.

While AI is an excellent tool for boosting productivity, it does have its limitations. No tool can match the real-life input of an engaged manager or an active HR team.

In order to beat the engagement epidemic, businesses must do more.

The Limitations of AI Employers Must Address

The lack of human touch is AI’s primary downfall. It is not a comprehensive solution to increasing productivity and engagement.

Over-automation and constant monitoring can make employees feel watched or disconnected. This creates an impersonal work environment.

The goal is to use AI to enhance your engagement strategy, not replace it.

When investing in technology for engagement, choose tools that involve a human element. For example, rather than replacing your HR team with AI chatbots, opt for AI-powered appraisal software. This can facilitate an open dialogue between employees and managers.

Adding a human element is essential. It builds trust, morale, and a supportive company culture.

Making Sure to Keep the Human Touch

To get the most out of implementing AI, the key is not to let it replace the human element of your business. Here are some steps you can take to make sure AI complements your business, not detracts from it.

Free up time to focus on employees: Use AI to automate repetitive tasks. This allows more focus on team support and training. Noticeable improvements in company culture are likely to be seen.
Keep an eye on poor engagement. AI can help identify early signs of disengagement. Warning signs like declining performance or low team involvement can be flagged. You can use this information to start a conversation and find out what the issue is.
Celebrate the small wins. If employees feel unappreciated, their engagement may suffer. To tackle this, AI can highlight when a goal is reached or when an achievement has been made. This is your opportunity to celebrate the successes or introduce a reward scheme.

Wrapping Up

As we step into a new era of AI-powered working, staying on top of your engagement strategy is crucial to keep productivity levels high.

The most engaged employees are those who feel supported both personally and professionally. The key here is to use AI to enhance your workers’ roles, not replace the real-life support of managers, leaders, and a powerful HR department.

About the author

India Snowdon is the Content Strategy Lead at The Access Group. She creates engaging, insightful content for Access PeopleHR, helping HR managers navigate software and payroll challenges. Access PeopleHR offers HR software and payroll solutions that simplify people management and support growing businesses.