AI-Generated ‘Workslop’ Costs Companies Millions in Productivity Losses Each Year

A 2025 study shows that low-quality AI-generated materials – labelled as “workslop” – are undermining teamwork and causing substantial financial losses. Researchers found that poorly produced texts, presentations, and reports often require double-checking, resulting in direct productivity losses worth several million dollars annually for large enterprises.

The analysis highlights that AI outputs are frequently inaccurate, repetitive, or irrelevant, forcing employees to spend more time correcting errors than the technology saves. According to the data, 62% of surveyed organisations reported an increase in review and coordination cycles due to AI content. Figures summarised by the Harvard Business Review indicate that for an average large company relying on AI, this can lead to millions of dollars in wasted labour costs every year.

The key takeaway is that adopting AI does not automatically lead to efficiency gains: if the quality of generated content is inadequate, the result is additional costs and lost time. Researchers stressed that in the future, firms will need to integrate quality assurance measures and training programmes to ensure AI adoption truly enhances productivity.

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AI-generated ‘workslop’ is here. It’s killing teamwork and causing a multimillion dollar productivity problem, researchers say

Some 40% of people say they’ve received workslop in the last month.

CNBCJennifer Liu

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AI-Generated “Workslop” Is Destroying Productivity

Despite a surge in generative AI use across workplaces, most companies are seeing little measurable ROI. One possible reason is because AI tools are being used to produce “workslop”—content that appears polished but lacks real substance, offloading cognitive labor onto coworkers. Research from BetterUp Labs and Stanford found that 41% of workers have encountered such AI-generated output, costing nearly two hours of rework per instance and creating downstream productivity, trust, and collaboration issues. Leaders need to consider how they may be encouraging indiscriminate organizational mandates and offering too little guidance on quality standards. To counteract workslop, leaders should model purposeful AI use, establish clear norms, and encourage a “pilot mindset” that combines high agency with optimism—promoting AI as a collaborative tool, not a shortcut.

Harvard Business ReviewKate Niederhoffer

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