AI Literacy Whitepaper
AI literacy goes beyond simply using AI-powered tools; it involves a deep understanding of how AI systems function, recognising their limitations, and ensuring their ethical and responsible use.
This whitepaper presents a practical framework for implementing AI literacy within organisations, equipping you to navigate the complexities of AI.
AI Literacy Whitepaper
AI literacy goes beyond simply using AI-powered tools; it involves a deep understanding of how AI systems function, recognising their limitations, and ensuring their ethical and responsible use.
This whitepaper presents a practical framework for implementing AI literacy within organisations, equipping you to navigate the complexities of AI.
Updated: March 2025 with Version 0.3

As AI usage soars, the need for AI Literacy becomes crucial...
In November 2022, ChatGPT gained 1 million users within just 5 days of its launch, and now, 2 years later, it has 200 million weekly active users worldwide. This surge has heightened awareness of AI, with users engaging through personal applications and workplace tools, including Bring Your Own AI (BYOAI) solutions. The number of AI tool users is projected to exceed 700 million by 2030.
This widespread use raises important questions about AI literacy. AI is no longer a futuristic concept; it has permeated nearly every aspect of daily life.
ChatGPT has 200 million weekly active users worldwide (Backlinko, 2024).
AI adoption soars from 45% in 2022 to an expected 85% by 2025 (Grandview Research, 2024).
The number of AI tool users is projected to exceed 700 million by 2030.
The journey of "Literacy" : From Basics to AI Mastery
Over the past 20 years, while digital literacy has evolved with advancements in smartphones, laptops, and tablets, the fundamental concepts of internet usage have remained consistent.
In contrast, AI literacy is progressing at an exponential rate, with tools rapidly evolving from generating simple images to building complex virtual worlds and automating intricate business processes. This swift transformation necessitates that users continually learn and stay updated on the latest AI advancements to remain effective and competitive.
Traditionally, literacy was defined as the ability to read and write, serving as the foundation for education and societal participation. Over time, this definition has expanded to encompass the understanding and interpretation of information. According to UNESCO, “literacy is the ability to identify, understand, interpret, create, communicate, and compute, using printed and written materials associated with varying contexts.”
By the early 2000s, evaluating online credibility, protecting personal data, and navigating digital spaces became essential skills, marking the evolution of internet literacy into a necessity. As we entered the 2010s, the importance of internet access gained recognition, culminating in the UN declaring it a human right in 2016.
Under Article 4 of EU AI Act, it requires organisations to ensure their workforce understands AI systems, their opportunities, and associated risks. By February 2025, organisations must tailor AI literacy training to their staff's technical knowledge and context, ensuring employees have the necessary understanding of AI systems and their potential impacts.
A framework to embed AI literacy within your organisation
Do you know only about 15% of the workforce will directly design or programme AI systems, while 85% will use AI in their daily tasks? The majority of employees don’t need to code but must be skilled in operating AI tools, understanding insights, and critically assessing outputs.
CFTE creates a framework to embed AI literacy within your organisation, focusing on a deep understanding of AI and its outputs. Here are five practical ways to implement AI literacy.

To create a foundation of AI literacy, it's essential that all employees grasp basic AI concepts like algorithms, machine learning, and how AI systems work.
AI literacy includes hands-on proficiency. Employees should be trained to use AI tools that can enhance their productivity and decision-making. Familiarity with AI in practical settings ensures fully leverage its capabilities.
A crucial part of AI literacy is developing the ability to critically assess AI-generated results. Employees need to question the accuracy, fairness, and potential biases in AI outputs, instead of over-relying on AI decisions.
AI literacy includes recognising the potential societal, privacy, and fairness issues that arise with AI use. Employees should be aware of how their use of AI affects data privacy and broader ethical concerns.
With the rapid advancement of AI, staying up-to-date with AI innovations is vital. Employees must continuously learn about new AI tools, capabilities, and ethical considerations.
Is Your Organisation Ready for the EU AI Act?
In 2024, the EU AI Act came into effect, emphasising the urgent need for AI literacy across all levels of organisations. By February 2025, all organisations utilising AI must ensure their employees have the appropriate understanding of AI, including their applications, benefits, and associated risks. This requirement extends to all stakeholders, from AI providers to end users.
If your organisation seeks support in achieving AI literacy, CFTE is here to help!
