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For the past several years, organizations have been asking the same compensation question:
How much should we pay for AI skills? That is still a legitimate question. Recent research indicates that jobs requiring AI skills are growing significantly faster than the broader job market and may command substantial pay premiums. But something more interesting is beginning to happen. As AI takes over more routine work, employers are placing greater value on the capabilities technology cannot easily replace: judgment, adaptability, creativity, communication, leadership, and the ability to apply technology responsibly. EY recently announced that it is allocating $100 million in bonuses to recognize U.S. employees who demonstrate important human skills, including innovation, adaptability, and sound judgment—particularly when using AI. Awards reportedly range from $500 for more immediate contributions to as much as $25,000 for significant impact. That is a fascinating shift. The emerging compensation question may no longer be only, “What is the market premium for AI expertise?” It may also be, “How do we reward the people who know what to do with AI—and when not to use it?” AI Skills Are Valuable, but They Are Not the Whole Job. PwC’s 2026 Global AI Jobs Barometer found that jobs requiring AI skills are growing almost eight times faster than the overall job market. The average wage premium associated with AI skills increased to 62%, although the premium varies substantially by industry. The research also found increased demand for traditionally senior-level capabilities such as judgment and leadership, including within some entry-level positions. That last point deserves attention. If AI can produce the first draft, summarize the data, create the presentation, write the code, or identify patterns, the employee’s value moves upstream. The differentiator becomes the ability to:
Those are not “soft” skills. They are business-critical skills. However, compensation professionals should be careful. Recognizing the growing value of human judgment does not mean organizations should start handing out permanent salary increases for being adaptable, collaborative, or innovative. That is where this can go sideways quickly. Do Not Pay for Personality Terms such as “innovation,” “leadership,” and “good judgment” sound meaningful, but they are difficult to reward fairly unless the organization defines what they look like in practice. Without clear standards, a human-skills reward program can become a popularity contest. The most visible employee gets recognized. The person who talks about using AI receives the award, while the employee who quietly prevents a costly mistake receives nothing. Managers reward people they personally view as innovative, even when those employees have not produced a measurable result. That is not pay for performance. That is paying for perception. If an organization wants to reward human capabilities, it must connect those capabilities to observable actions and business outcomes. For example: Instead of: Demonstrates innovation. Use: Introduces a new approach that reduces processing time, improves accuracy, increases revenue, strengthens compliance, or improves the customer or employee experience. Instead of: Uses sound judgment. Use: Evaluates available information, identifies material risks, involves the appropriate stakeholders, and makes a decision that produces a defensible business outcome. Instead of: Demonstrates adaptability. Use: Successfully modifies priorities, processes, or recommendations in response to changing business needs while maintaining service, quality, and accountability. The behavior matters, but the impact matters more. Salary, Incentive, or Recognition? Organizations should also decide how these capabilities belong in the compensation program. Not every valuable skill should result in higher base pay. Base salary should generally reflect the sustained market value of the job, the scope and complexity of the role, and the employee’s demonstrated proficiency. If AI capability becomes a continuing requirement that materially changes the work, it may justify a change to the job description, market match, career level, or salary range. A bonus or recognition award may be more appropriate when an employee applies a skill to produce a specific result—such as automating a process, identifying a major risk, improving a product, or developing a new business solution. A practical model could include:
The reward vehicle should match what the organization is actually paying for. Build Guardrails Before Writing Checks Before launching a human-skills award program, organizations should establish several basic controls:
The Next Competitive Advantage May Be Human AI proficiency will continue to influence pay. But organizations may eventually find that access to AI tools is not the competitive differentiator. Most employees will have access to similar technology. The advantage will come from employees who know how to use those tools to create value. The best employee may not be the person who produces the most AI-generated output. It may be the person who asks the best question, catches the flawed answer, understands the consequences, and makes the right decision. Those capabilities are worth rewarding. We simply need to make sure we are rewarding demonstrated contribution—not personality, visibility, or vibes. Comp Chick Takeaway: As AI becomes more common, human judgment may become more valuable. Define it, measure it, connect it to results, and select the right compensation vehicle before deciding what it is worth.
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Meet The Comp ChickThe Comp Chick, aka, Jennifer Peacock has more than 25 years of diverse experience in human resources ranging from consulting to corporate HR leadership. She started The Comp Chick blog as a way to show her peers that Compensation doesn't have to be boring or difficult. Archives
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The Comp Chick, aka, Jennifer Peacock has more than 25 years of diverse experience in human resources ranging from consulting to corporate HR leadership. She started The Comp Chick blog as a way to show her peers that Compensation doesn't have to be boring or difficult. All information included in this blog is opinion.
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