How AI is driving retention, rather than attrition
Writer: Mirella Franzese
September 2025 — More than 70% of American employees worry that AI will lead to permanent job loss. But for employers, artificial intelligence isn’t here to replace workers, rather to attract and retain top talent.
“Technology is here to assist, not replace,” Monique Zinn, CEO of Zinn Insurance, told Invest:. “In our world, human connection still matters most.”
Companies like Zinn Insurance are shifting to AI-driven workflows and smart automation to reduce administrative tasks and boost efficiency, investing time saved into the client experience and strategic thinking.
“Technology is a force multiplier, “ added Zinn. “We’ve redefined how our team communicates, tracks KPIs, and delivers service …and cut admin time by 30%.”
At the same time, delays in AI adoption and training do more harm than good, increasing risks of employee turnover, especially among entry-level workers, who have been educated to occupy AI roles. U.S. employers have increasingly listed AI skills in open job postings in recent years, which has prompted many American colleges and universities to build tailored programs around it. In 2024, for instance, the number of online job announcements that demanded generative AI skills grew 323% from 2023 to 2024, according to labor analytics company Lightcast.
As a result, the Gen Z workforce is progressively gravitating towards innovation-driven jobs. In fact, 73% of AI users are under 50, and 51% have at least a bachelor’s degree, underscoring major generational differences in the workplace.
For Ogletree Deakins’ Nashville managing shareholder, Luther Wright, this generational divide poses a core challenge.
“For the first time, we have multiple, very different generations working side by side in organizations, and we have not adequately addressed how these differences influence…employment,” Wright told Invest:.
This level of generational diversity means organizations are having to find new ways to solve differences in communication, expectations, and perceptions of work, as Wright observed.
AI ultimately saves essential time and eliminates administrative redundancies, boosting employee satisfaction, which is desirable for younger workers.
“Older generations prioritized work-life balance, whereas younger workers now…place personal life first,” he added. “This is not just semantics, but it reflects a fundamental shift in priorities. Failing to acknowledge this leads to tension, misunderstandings, and retention issues.”
In the healthcare industry, the integration of AI and data analytics also presents a new opportunity to support the evolving needs of medical practitioners, both young and old. “Physicians… choose where to practice based on efficiency and technology,” Jyric Sims, HCA’s West Florida division president, told Invest:.
Innovation is, therefore, not just an essential talent-pipeline builder; it’s a tool for retaining and training skilled workers. In fields like healthcare, where labor shortages are particularly pronounced, AI and technological adoption are key to attracting workers and piquing interest in medicine-oriented careers.
On the broader level, companies harnessing AI benefit in many ways that generate value for the organization, according to a BCG report. “Employees save significantly more time than those in companies where the technology is less integrated into the workday. In addition, employees’ decision-making sharpens and they work on more strategic tasks,” wrote BGC experts. This means failure to embed AI or innovate can antagonize workers, effectively putting a glass ceiling on satisfaction.
Nonetheless, challenges across recruitment, retention, and AI integration remain, affecting every sector in unexpected ways, according to Wright. Indeed, nearly 48% of U.S. employees rank training as the most important factor for Gen-AI adoption, but just half feel they are receiving the support needed to implement it, according to a study by McKinsey & Company.
AI education and training could resolve some of those tensions, as suggested by Till Leopold, World Economic Forum’s head of work wages and job creation.
“Companies will need to invest in substantial upskilling efforts to prepare their employees for the AI-driven economy,” wrote Leopold in a WE Forum report.
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