Texas Businesses Increased Artificial Intelligence Adoption

A May 2026 survey found that businesses in the Dallas Federal Reserve district are turning to automation to fill labor gaps.

Updated on Oct. 9, 2026 in Employment

Texas Businesses Increased Artificial Intelligence Adoption

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A survey released in May 2026 shows that 66% of businesses in the Dallas Federal Reserve district now use artificial intelligence. This represents a 26% increase in adoption over two years as firms seek to mitigate workforce shortages.

Why it matters

The shift toward automation is driven by the need to replace retired baby boomers and boost worker productivity in an evolving market. Consequently, routine and entry-level positions are becoming increasingly difficult to find.

The Federal Reserve Bank of Dallas reported that 66% of surveyed businesses use artificial intelligence, a 26% increase over two years. Meanwhile, job postings for roles exposed to automation fell 8% during the first quarter of 2025.

The players

Federal Reserve Bank of Dallas

This is one of the twelve regional banks that comprise the United States Federal Reserve System.

Greg Procell

He is a long-standing member of the business outlook committee at the Dallas Federal Reserve.

Frymaster

This manufacturing entity operates a facility in Shreveport that recently modified its shift scheduling.

The details

Companies are deploying machines to manage tasks formerly handled by production line workers, specifically in fields like bookkeeping and paralegal services. For instance, the Frymaster manufacturing facility in Shreveport recently adjusted its morning shift start time from 5 a.m. to 6 a.m. as part of ongoing operational shifts.

Timeline

  1. Greg Procell joined the Dallas Fed's business outlook committee in 1995.

  2. Job postings for AI-exposed positions declined by 8% in the first quarter of 2025.

  3. The Dallas Fed released its Business Outlook Survey results in May 2026.

Macro View

The rapid integration of automation in Texas mirrors broader historical labor transitions triggered by demographic shifts. Current trends indicate a divergence from previous decades, as the retirement of the baby boomer generation accelerates the need for modern technological upgrades.

Recent graduates in Texas may face increased difficulty securing entry-level roles in fields such as accounting and bookkeeping due to automation. Families should anticipate that routine, entry-level job opportunities will continue to decline in availability over the next three to five years.

The takeaway

Workers should prioritize developing skill sets that utilize rather than compete with artificial intelligence tools. Adapting to these changes is essential for maintaining career stability in a modernized labor market.

Further reading

Learn more about labor trends in Texas Employment.

Source note: This article includes information reported by NOLA.

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Is the increasing use of artificial intelligence in the workplace generally a positive for you?