Texas Businesses Increased AI Use as Job Postings Fell
State employers are adopting automation, affecting availability for some entry-level and routine job roles.
Updated on Oct. 9, 2026 in Employment
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A survey released in May 2026 revealed that 66% of businesses in the Dallas Federal Reserve district now use artificial intelligence, marking a 26% increase over two years. This shift in workplace technology coincides with an 8% decline in job postings for roles exposed to AI during the first quarter of 2025.
Why it matters
Companies are increasingly turning to automation to boost productivity and manage labor shortages driven by the retirement of the baby boomer generation. This transition is actively reshaping the local labor market by reducing the need for traditional manual and routine tasks.
Data shows 66% of surveyed businesses now utilize artificial intelligence, a 26% jump over two years, while job postings for exposed positions dropped 8% in Q1 2025.
The players
Federal Reserve Bank of Dallas
A regional central bank that provides economic analysis and monitors business conditions for the state.
Greg Procell
A member of the Dallas Fed's business outlook committee since 1995.
Frymaster
A manufacturing company that recently adjusted shift schedules at its Shreveport facility.
The details
Businesses are replacing or augmenting routine tasks, such as bookkeeping and production line work, with machine automation to address challenges in finding human workers. This has led to noticeable operational changes, such as the Frymaster manufacturing facility in Shreveport shifting its morning shift start time from 5 a.m. to 6 a.m. Projections suggest that many current entry-level roles in sectors like accounting and paralegal services may be rendered unnecessary within three to five years.
Timeline
1995: Greg Procell joined the Dallas Fed's business outlook committee.
Q1 2025: Job postings for AI-exposed positions fell by 8%.
May 2026: The Dallas Fed released its Business Outlook Survey results.
Money Landscape
The regional adoption of AI is part of a broader push to modernize workflows as the retirement of the baby boomer generation shrinks the labor pool. This shift marks a notable acceleration in automation usage that is moving faster than historical rates for workplace technology integration.
Job seekers in fields such as accounting, bookkeeping, and paralegal work should monitor these automation trends when evaluating long-term career security. Families may need to account for potential changes in shift availability or skill requirements when planning for future household income.
The takeaway
The rise of automation is changing which entry-level positions are available, signaling a potential shift in career demand over the next three to five years. Individuals should consult with a career counselor or financial professional to discuss how evolving industry technology might impact their long-term earnings.
Further reading
For more on the current state of the local labor market, visit Employment.
Source note: This article includes information reported by NOLA.
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