Bucking the Trend: How AI Adoption in the Workplace Is Being Driven by Gen X

It’s a common assumption that tech adoption is driven by the young. When ‘AI adoption’ in the office is mentioned, a stereotype might come to mind: a Gen Z digital native driving forward change and embracing the paradigm-shifting possibilities of AI. After all, isn’t this the generation who are quickest, outside of the workplace, to embrace the latest social media platforms and the newest technological trends?

Well – you know what they say about assumptions. The picture is much more varied than it first appears. Our new research shows that far from dragging their feet, accountants aged 55 and over are adopting AI faster than their younger colleagues. They’re moving faster to adopt generative AI tools and have been quicker to see the benefits of how the technology can help transform how they work.  For example, we found that just 16% of 18–24-year-olds are using AI for client insights and reporting. Among those aged 55+, it’s 50%. For compliance tasks, it’s 39% versus 71% respectively.

These findings aren’t in line with the standard adoption curve we’ve been trained to expect – and that other studies have shown. Recent research from Deloitte found that 62% of people aged 16-34 have actively used generative AI, compared to only 14% of 55–75-year-olds.

So, why are we seeing a different picture in accounting, when it comes to young people engaging with this technology?

The current state of play

Our research shows that older accountants are using AI tools such as workflow automation and compliance software more enthusiastically than their junior counterparts. This is driven by many factors, including willingness to adopt new technology to deal with manual processes, awareness of looming talent shortages, and a strong incentive to boost productivity.

At the same time, younger accountants are being held back from adopting AI because of limited exposure to advanced tools in junior roles and the associated gaps in training and access. For accounting firms, this is a problem. Usage must thrive among all employees, not just certain demographics, if AI is going to help transform current approaches to work.

As such, these findings are a useful springboard to starting a crucial conversation about how we should approach tech adoption at work. There are productivity and efficiency boosting possibilities to be found by using AI and automation, including reduction of repetitive, low-value work and enabling more accurate predictive analytics. This can help drive performance and job satisfaction across all roles, from entry to leadership level.

In a profession like accounting, the adoption of AI could ease the workload across the board. Beyond that, the financial gains are substantial: UK accountancy firms could reclaim nearly £48,000 in billable time per accountant each year. This would be a result of modernising outdated systems and processes, addressing mounting admin, and better harnessing technology to improve productivity.

Why is AI being adopted by the older generation?

Before we discuss the changes that need to come, let’s consider what lies behind the paradox of the accounting AI age gap.

It’s important to note that senior leaders will be more aware of the looming talent shortage in the industry. And are more likely to be the decision makers in the room discussing the potential impact of recruitment challenges. That might be one of the reasons they’re taking the initiative to future-proof by learning how to automate tasks, recognising that their businesses may soon struggle to fill essential roles.

It’s also true that senior leaders have decades of experience with manual processes – they know just how much time can be spent on repetitive administration, reporting, and compliance tasks. This means they’re able to more clearly see the value of AI and automation to streamline operations and reduce manual workloads. The ability to reallocate that valuable time towards more strategic work by bringing in AI may seem more readily appealing to people with that experience behind them.

Finally, senior leaders have a strong incentive to boost productivity. In an increasingly challenging economic climate, accounting firms need to make the very most of their resources, staff, and time. As AI becomes ever more accessible and user-friendly, it makes sense that senior staff would push for take-up.

What’s stopping younger accountants from embracing AI?

We also need to consider what’s behind the behaviour we’re seeing among those in their 20s and 30s. Is the positive picture of AI usage at senior levels hiding a troubling possibility: are older accountants embracing AI at a faster rate because firms are limiting its use among younger, less experienced professionals?

There is a scenario in which concerns about AI’s reliability or predictability mean its use is restricted for staff that haven’t yet had time to fully prove themselves. With the C-suite keeping an eye on ROI, junior employees may not be supported or encouraged to use the technology by their organisation.

There is a degree to which that caution is wise – you might not want to deploy a major new AI strategy completely into the hands of junior staff. But instead of acting cautiously, employers should take the momentum and invest in the training and governance to support their staff in using this technology.

Indeed, there’s a risk that these figures point towards gaps in training and access to AI upskilling. If businesses, including accounting firms, are to make the most of the opportunities presented by AI, they need to ensure training is provided right across the organisation, and junior staff can also tap into streamlined working practices.

 What’s next?

These figures do point to a mostly encouraging picture. An older workforce embracing AI suggests a leadership that’s open to the potential opportunities that the technology holds. At the same time, it’s important not to underestimate the benefits of equipping younger staff to benefit – putting the whole organisation on an even footing gives the best chance of success.

The next step is to ensure employees at all levels have the opportunity to get to engage with new technology, supported by clear guidance and training. Employers should also recognise that simply investing in AI is not enough to get buy-in across the organisation. Genuine transformation happens when they can connect the dots between their technology, skills and strategy, and act on it. With 85% of new practitioners ranking work-life balance as a top priority when choosing an employer, AI offers a powerful opportunity to help teams work smarter, not harder and achieve the work-life balance employees increasingly value.