Employees Are Secretly Using AI at Work—Are Hotels Ready?

Employees Are Secretly Using AI at Work—Are Hotels Ready?

Artificial Intelligence (AI) is rapidly reshaping the hospitality industry, promising enhanced guest experiences, increased productivity, and streamlined operations. However, a recent global study conducted in early 2025 by KPMG and the University of Melbourne shows that many hotels—and other businesses—are struggling to manage employees' growing use of AI tools. The survey, covering more than 48,000 employees across 47 countries, reveals significant gaps in AI readiness, training, and oversight, with implications especially relevant for hotel management teams.

Employees Concealing AI Use

One of the most striking findings from the study is that 57% of employees admit to secretly using AI tools at work. In the hospitality sector, this could include front-desk teams using generative AI to reply to guests, marketing teams producing social media content with AI, or even revenue managers using unapproved AI tools to set pricing. Many employees admitted they present AI-generated content as their own original work, creating transparency and accountability issues.

Lack of Formal AI Training

The report also highlighted a significant gap in workplace preparedness: less than half (47%) of employees have received any formal AI training. For boutique hotels, this lack of training means staff may turn to AI tools without clear guidelines or understanding, risking poor guest interactions, operational errors, or reputational damage.

Indeed, 56% of surveyed employees acknowledged making work-related mistakes because of incorrect or improper use of AI tools. For hotels, errors caused by untrained AI use could directly affect guest satisfaction—imagine incorrect guest communications, booking errors, or inappropriate pricing strategies that could negatively impact reviews and revenue.

Data Privacy and Security Concerns

Perhaps most alarming for hotel managers, 48% of employees admitted to uploading sensitive company data into public AI tools. Hotels routinely handle sensitive information, including guests' personal details, payment information, and internal financial data. Without clear guidelines and secure AI practices, hotels risk significant data breaches, potentially resulting in legal liabilities and lost guest trust.

Recommendations for Hotel Management

The findings of this study underline an immediate need for boutique and independent hotel leaders to proactively manage the integration of AI into their operations. Hospitality experts strongly recommend implementing clear AI usage policies and robust training programs. Hotels should:

• Clearly define approved AI tools and platforms.

• Provide regular AI education and training sessions tailored to different departments such as front desk, marketing, revenue management, housekeeping, and F&B operations.

• Ensure that guest data privacy and cybersecurity practices are emphasized in AI training and use.

By strategically managing AI integration, hotels can harness substantial benefits, including better operational efficiency, improved guest satisfaction, and increased competitiveness—without sacrificing data security or risking reputational harm.

More Insights

For additional details and comprehensive recommendations, click the link below to access the full report directly from KPMG: Trust, Attitudes and Use of Artificial Intelligence: A Global Study (2025)