The Human ROI: Why Investing in Your People Matters Even More in the Age of AI

Organizations are investing heavily in artificial intelligence with the expectation that it will increase speed, productivity, and efficiency. But technology alone does not create business value. People do. The companies that benefit most from AI will not necessarily be the ones that buy the most technology. They will be the ones that develop people who know when to use it, how to question it, and how to lead others through the changes it creates. That makes employee development more than a benefit or a line item to reconsider when budgets tighten. It is a business strategy. And in the age of AI, the cost of failing to invest in people is rising.

The business case for developing people

The return on employee development can be seen in retention, performance, engagement, succession planning, and an organization’s ability to adapt.

Gallup research found that organizations making a strategic investment in employee development report 11% greater profitability and are twice as likely to retain their employees. Those results challenge the idea that professional development is simply a “nice to have.” It is connected to outcomes that directly affect the bottom line.

Development also influences whether employees envision their future inside or outside their current organization. According to additional Gallup research, employees who strongly agree that their organization encourages them to learn new skills are 47% less likely to be searching or watching for another job. Yet only 26% of U.S. employees strongly agree that their organization encourages them to learn new skills.

That gap represents both a risk and an opportunity. Companies that visibly invest in their employees can differentiate themselves while building a stronger internal pipeline. Development can turn an employee’s next career opportunity into an internal promotion instead of an external job search.

AI is changing the ROI equation

AI is not eliminating the need for employee development. It is accelerating it.

The World Economic Forum’s Future of Jobs Report 2025 found that 77% of employers plan to upskill their existing workforce in response to AI, while 41% anticipate reducing their workforce in areas where AI can automate tasks.

This is the tension facing business leaders. Organizations want the productivity benefits of AI, but those benefits will not be evenly distributed. Employees need opportunities to build new skills, understand changing expectations, and learn how to work effectively alongside technology.

PwC’s 2025 Global AI Jobs Barometer found that the skills employers seek are changing 66% faster in jobs most exposed to AI. Workers with AI-related skills commanded an average 56% wage premium, and productivity growth in AI-exposed industries increased fourfold.

The message is clear: the shelf life of existing skills is becoming shorter. Companies cannot assume that hiring talented people once will be enough. They must continue developing them.

Buying the tool is not the same as building the capability

AI can make employees faster and more productive, but access to the technology does not guarantee good judgment.

A study of more than 5,000 customer-service agents found that access to generative AI increased productivity by 15% on average, with the largest gains among less-experienced and lower-skilled employees. The research also found evidence that AI helped employees learn and spread the knowledge of stronger performers across the workforce. Read the Stanford Digital Economy Lab’s summary of the research.

Another study involving 758 consultants illustrates both the potential and the risk. On tasks suited to AI, participants using the technology completed more than 12% more tasks, worked more than 25% faster, and produced results rated more than 40% higher in quality. But when they used AI for tasks outside its capabilities, their performance declined. Harvard Business School researchers describe this uneven boundary as the “jagged technological frontier.”

This is why human development remains essential. Employees need more than access and basic technical training. They need critical thinking to recognize when an answer may be wrong, industry knowledge to understand the context, communication skills to explain a recommendation, and judgment to accept accountability for the result.

In insurance, AI may help summarize information, identify patterns, draft communications, and accelerate routine work. But people must still make decisions, manage relationships, navigate ambiguity, demonstrate empathy, influence stakeholders, and lead through change.

The human capabilities that become more valuable

As AI takes on more repeatable tasks, the value of distinctly human capabilities increases. Organizations need employees who can:

• Exercise judgment and think critically
• Communicate with clarity and influence
• Build trust with colleagues, clients, and industry partners
• Lead teams through uncertainty and change
• Mentor others and transfer institutional knowledge
• Collaborate across functions and generations
• Recognize opportunities for innovation
• Turn information into sound decisions and action

These skills are not developed through technology alone. They grow through education, mentoring, meaningful relationships, exposure to new perspectives, leadership opportunities, and practical experience.

That is the human ROI: equipping employees not only to complete today’s tasks, but to take on tomorrow’s responsibilities.

The risk to the next generation of leaders

AI also creates a less obvious workforce challenge. Many of the routine tasks being automated are the same tasks through which early-career employees have traditionally learned the business.

Drafting the first report, reviewing a basic file, conducting initial research, preparing a meeting summary, or handling a straightforward customer interaction may seem repetitive. But those assignments have also helped employees build knowledge, recognize patterns, learn from corrections, and earn greater responsibility.

If AI removes part of that learning curve, employers must become more intentional about replacing it. Otherwise, companies could gain short-term efficiency while weakening their long-term leadership pipeline.

The next generation will need structured mentoring, industry exposure, peer relationships, stretch assignments, leadership education, and opportunities to practice human skills that cannot be automated. Development can no longer be left to chance or assumed to happen naturally through tenure.

Career development and AI adoption are connected

The organizations leading in career development also appear better positioned to adopt AI effectively.

LinkedIn’s 2025 Workplace Learning Report found that 88% of organizations are concerned about employee retention, with learning opportunities identified as the No. 1 retention strategy. It also found that organizations with mature career-development programs are 42% more likely to be frontrunners in generative AI adoption than companies with weaker programs.

That relationship makes sense. AI adoption requires more than implementation. It requires curiosity, adaptability, trust, communication, and a culture in which employees are expected and encouraged to keep learning.

Companies should not think of AI investment and employee development as competing priorities. They are part of the same workforce strategy.

Development works best as an ecosystem

A single course or conference can create a spark, but meaningful growth rarely comes from one isolated experience. Employees develop through a combination of education, mentorship, peer relationships, recognition, leadership opportunities, and practical application.

For AmTrust Financial Services Inc., that combination is central to the value of its RISE partnership. Charmaine Rice, SVP, Employee Experience, says the RISE mission supports the company’s commitments to “continuous learning, mentoring, and relationship building” with industry peers.

Those elements work together. Education builds knowledge. Mentorship adds context. Relationships expose employees to different perspectives. Recognition builds confidence and visibility. Leadership opportunities allow employees to apply what they have learned.

Organizations do not necessarily need to build every component internally. Partnering with an established industry community can expand opportunities for employees while reducing the time, infrastructure, and expense required to create them from scratch.

Investing in people strengthens the industry’s talent pipeline

Employee development also extends beyond the boundaries of a single company. The insurance industry is competing for talent, preparing for the departure of experienced professionals, and developing employees for roles that are changing rapidly.

Robert Bowers, Chief Claims and Customer Service Officer at Westfield, describes RISE as the premier organization for developing, recognizing, and “networking with the next generation of talent.” He also sees corporate membership as a way for Westfield to demonstrate leadership by participating in “solutions to our talent challenges.”

That is an important distinction. Investing in rising talent is not merely an employee perk. It is part of protecting the future leadership and institutional strength of the industry.

A scalable way to invest in the human side of transformation

RISE Corporate Membership was built to help insurance organizations provide a year-round development experience for their employees. Through leadership education, mentorship, industry connections, recognition, volunteer opportunities, events, and a professional community, employees can strengthen the capabilities and relationships that support both current performance and future advancement.

For companies, the value goes beyond access to individual programs. Corporate membership offers a structured way to engage rising talent, increase the visibility of high-potential employees, support leadership development, and demonstrate a meaningful commitment to the future of the workforce.

Brian Pozzi, Chief Claims and Strategy Officer at The Auto Club Group, says corporate membership creates “more touchpoints and visibility” while furthering the development of leaders and staff. He describes the investment as modest compared with the value it provides, calling it “one of the easier decisions we’ve made.”

The objective is not to prepare employees to find their next opportunity somewhere else. It is to help them become more capable, connected, and ready to take their next step within the organization that invested in them.

Measuring the human ROI

Companies should define what success looks like before selecting a development program. Depending on the organization’s priorities, useful measures may include:

• Retention among participating employees
• Internal promotions and expanded responsibilities
• Employee engagement and development survey results
• Participation in mentoring, education, and leadership programs
• Skills applied to current roles or business challenges
• Cross-functional and industry relationships developed
• Employee recognition, speaking opportunities, or volunteer leadership
• Knowledge shared with colleagues after a program or event
• Readiness for management and succession opportunities
• Effective and responsible adoption of AI tools

The key is to look beyond attendance. The real question is not simply, “Did our employees participate?” It is, “What changed because they participated?”

Managers can strengthen the return by discussing development goals before an employee begins, checking in throughout the experience, and creating opportunities for the employee to apply and share what they learned afterward.

Invest in the technology. Do not forget the people.

Most organizations already budget for technology, operations, marketing, and growth. But every one of those investments depends on people who can execute, adapt, collaborate, and lead.

AI can help employees work faster. It cannot decide what kind of leader they will become. It cannot build trust on their behalf, create a sense of belonging, sponsor their advancement, or prepare them to carry an organization’s culture and institutional knowledge forward.

As companies finalize their budgets, the question should not be whether they can afford to invest in their people. It should be whether they can afford the cost of an unprepared leadership pipeline, disengaged talent, poor judgment, and missed potential during one of the most significant workplace transformations in decades.

Investing in AI may change how work gets done. Investing in people determines whether that change creates lasting value.

To learn how RISE Corporate Membership can support your organization’s talent development, retention, and leadership goals, contact the RISE team to schedule a conversation.