These low rates of preparedness come despite the reforms on AI use and pay transparency occupying the top of employers' minds, with data privacy and workplace inclusion and diversity also expected to impact their workforce management, according to the report.
The report noted that slow progress on the part of national governments could be hampering employers' ability to prepare for reforms.
However, it pointed out that the majority of employers in its report have yet to take some core steps to prepare for compliance with either law.
The EU AI Act regulates the technology and places responsibilities on providers and deployers of the technology. The act covers employers, who will face a string of compliance obligations for "high-risk" systems, from ensuring AI is being used in accordance with its instructions to assigning human oversight and more.
According to the report, 80% of employers in Europe are at least "somewhat prepared" for the act. More than half of them (51%) even said they are already reviewing or updating internal policies related to AI use.
It found, however, that only 40% of employers are conducting training, while just 34% are conducting internal audits or risk assessments of AI use.
"Given this state-of-play, it's potentially worrisome — and somewhat understandable — that only 18% of survey respondents say their organisations are very prepared to comply with the Act," the report read.
"More concerning, perhaps, is that of the 80%...
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