New TD research exposes a critical AI skills gap in Canada, with one in three workers admitting to overstating their abilities at work
One in three Canadian workers admit to faking their AI abilities at work – a finding that lands squarely at HR’s door.
The 2026 TD AI Insights Report, conducted by Ipsos on behalf of TD Bank Group, surveyed 2,501 Canadians aged 18 and over. It found that 32 percent of respondents had exaggerated their artificial intelligence (AI) competency in professional settings. It’s a direct signal that Canada’s AI skills gap is wider than organizations are accounting for.
Only 37 percent of workers said their employer had provided adequate training. Another 53 percent said their workplace was lagging behind peers on adoption.
For HR managers and directors, the data challenges existing learning and development strategies directly. Employees are not arriving AI-ready. They are arriving anxious and under-trained.
Canada’s AI skills gap starts with a confidence crisis
Only 4 percent of respondents rated themselves an “A” in AI skills. Three-quarters (75 percent) gave themselves a “C” or lower. Yet 78 percent believe workplace adoption of the technology is inevitable.
That gap – between resignation to change and readiness for it – is a warning signal for people leaders. When employees feel compelled to appear competent without the foundation to back it up, the result is poor performance.
Many employers have already been flagged for underinvesting in workforce upskilling, and the TD data reinforces that finding.
‘AI is becoming more prevalent across the world of work but for many people it still feels new and unfamiliar,’ said Luke Gee, senior vice president and chief analytics and AI officer at TD Bank Group in Toronto. ‘The pace of change can feel fast – and it’s natural that confidence takes time to catch up.’
Generational split complicates AI training strategy for HR leaders
The generational breakdown adds complexity for HR teams managing diverse workforces.
Boomers were the most likely to say AI adoption is inevitable, at 89 percent. Gen X followed at 81 percent, Millennials at 79 percent, and Gen Z at 65 percent.
Share who say AI adoption in the workplace is inevitable, by generation — 2026 TD AI Insights Report
Source: 2026 TD AI Insights Report, conducted by Ipsos on behalf of TD Bank Group. Sample: 2,501 Canadians aged 18+.
That challenges the assumption that younger workers drive enthusiasm for the technology. Resistance and anxiety are not age-specific problems.
Among workers already using these tools, 59 percent say they are more productive. Another 58 percent say it gives them a competitive edge over peers in similar roles.
The upside is real, but only for employees with the skills and confidence to engage.
Formal, structured training has emerged as the dominant workforce demand. An April 2026 Harris Poll survey found that 79 percent of Canadian job seekers want employers to formally train staff on AI. They do not want to be left to learn on their own. Among hiring managers, 77 percent agreed formal training should be a company priority.
For HR leaders rebuilding their learning frameworks, this is not a signal to wait. Organizations that treat technology literacy as an individual responsibility widen the performance gap. At a time when employers are already deploying job protection measures amid widespread AI layoffs, that is a risk few can afford.
What a real AI training infrastructure looks like
Melanie Burns, senior executive vice-president and chief human resources officer at TD Bank in Toronto, frames the challenge as a strategic imperative.
‘The future of work will require organizations to help people develop new skills as technology evolves,’ Burns said. ‘Those that prioritize learning and equip employees with the right tools will ensure their people thrive.’
Moving beyond one-off workshops is the starting point. The most effective approaches identified by hiring managers centre on on-the-job training, and that involves working alongside the technology directly.
Dedicated programming for skills that automation cannot replace is equally critical. Critical thinking, ethical judgement, and relationship management remain human responsibilities.
Balancing humans and technology in workplace training means embedding AI capability into existing workflows. The goal is not to produce specialists across every function. It is to build employees who know where the technology genuinely helps – and who no longer feel they have to pretend otherwise.
Closing Canada’s AI skills gap is HR’s mandate now
The Future Skills Centre, a federally funded research body, has flagged a consistent finding across Canadian businesses: sourcing staff with AI integration skills is the top adoption barrier. That barrier is HR’s to address through targeted upskilling, accessible programming, and measurable outcomes.
One figure from the TD survey warrants attention above all others. Some 53 percent of workers already believe their employer is behind. The window to close Canada’s AI skills gap is narrowing, and it’s up to HR leaders to act now.
