As the use of artificial intelligence grows exponentially, the rush to hire qualified talent is creating a scrum that is causing companies to make hasty and costly decisions, according to a white paper released by General Assembly.

The survey conducted by the tech-based training provider found that 75% of companies hiring AI-experienced tech workers acknowledge that they are hiring too quickly. Companies also say they are not taking the time to establish pipelines of top candidates.

The white paper cited reports that show that companies have boosted AI talent hiring by more than 300%, yet will only be able to meet half that demand. It cited a McKinsey survey that found that 72% of executives and managers say their organizations are using AI in at least one business function, which has risen by more than 20 percentage points in two years.  

“In the race to secure AI talent, companies not wanting to be left behind are scrambling to find it, but without long-term plans on how to deploy it,” according to the white paper, which was authored by General Assembly CEO Daniele Grassi. “The companies that embrace a new and deliberate approach to talent recruitment and development will be the ones best prepared to compete—and win—in our AI future.”

Not surprisingly, surging demand for tech workers has spurred an increase in salary demands by prospective candidates, which is adding to companies’ employment costs, according to the white paper. It also reported that an overwhelming 95% of HR professionals said finding qualified candidates with both technical and soft skills is harder than it was three years earlier. U.S. hiring managers said communication, problem-solving, and teamwork skills are the hardest qualities to find in candidates.

“Firms are competing for an ever-shrinking pool of skilled candidates when they should be investing in developing their own qualified talent,” Grassi said in a statement. “Upskilling and reskilling will be absolutely essential to a future where every role, at every level, requires AI skills.”

The white paper noted that despite being more cost efficient than hiring new talent, upskilling existing employees to fill new tech roles is the strategy planned by only 27% of companies, which has remained at the same level since 2023.

“Because AI is bleeding into finance, sales, marketing, HR, and other positions that aren’t traditionally considered tech roles, there’s an urgent need for all employees to possess technical know-how if they and their organizations want to remain ahead of the pack,” Grassi wrote.

General Assembly’s survey, which was conducted from Oct. 16 to Oct. 28, polled 500 human resources professionals with a minimum seniority of manager, and who work in talent acquisition at companies hiring tech workers in the U.S., the U.K., and Singapore.