Updated
Updated · Marginal Revolution · Aug 31
Census Finds 95.7% of Firms Saw No Employment Change From AI as Adoption Reached 18%
Updated
Updated · Marginal Revolution · Aug 31

Census Finds 95.7% of Firms Saw No Employment Change From AI as Adoption Reached 18%

3 articles · Updated · Marginal Revolution · Aug 31

Summary

  • 95.7% of businesses reported no change in total employment from AI use in the Nov. 2025-Feb. 2026 Census supplement, while 2.3% reported increases and 2.0% reported decreases.
  • Those results barely changed from Dec. 2023-Feb. 2024, when about 5% of firms used AI and 94.6% reported no employment effect, suggesting adoption has risen faster than workforce impact.
  • 18% of firms reported AI use after Census broadened the question in November 2025 from production only to any business function; under the earlier measure, usage had climbed from 3.7% in 2023 to about 10% by late 2025.
  • 44% of AI-using firms said the technology mainly supplemented existing work, while 10% said it performed tasks employees used to do and 11% said it created entirely new tasks.
  • Only about 1% of adopters hired workers with AI skills, and although task substitution intensified among a small subset, Census said the overall employment picture was essentially unchanged across firm sizes.

Insights

Why are the companies spending the most on AI actually maintaining higher employment levels than their peers?
If AI isn't killing jobs yet, why are young white-collar workers quietly disappearing from highly exposed roles?