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21 October 2026

Study shows effects of AI on Scotland’s workplaces

Research points to changes in labour market

Employers

NEW research shows Artificial Intelligence is becoming part of everyday working life in Scotland, but that most businesses are at an early stage of adopting the technology.

The first issue of Spotlight on AI, a new series developed by national skills agency Skills Development Scotland (SDS) in partnership with CBI Economics, draws on evidence from over 150 Scottish businesses and more than 20 interviews with employers and education and training providers.

Published during AI Week 2026, the research found that 34 per cent of organisations are using AI across some of their business functions, while only 2 per cent say it is fully embedded across most of their activities. Almost half of employers reported informal or individual use within their organisation.

Spotlight On AI How AI Is Changing Work In Scotland

Among businesses already using AI, administration is the most common application, followed by marketing and data analysis or forecasting. Almost nine in ten use generative AI tools such as ChatGPT, Copilot, Gemini or Claude.

Scottish Government Innovation Minister Alyn Smith said: “This research shows AI is already becoming part of everyday working life in Scotland. It presents one of the most significant economic opportunities in a generation, if businesses can exploit it effectively.

“Over a third of organisations are already using AI in some of their business functions, but there is clearly more we can do to help others follow suit. Our AI strategy sets out our intention to harness the potential of AI to drive responsible economic growth and make a positive difference across society. We are backing this with investment to help businesses upskill, understand AI's potential, and further their aims through our AI Adoption Programme.”

The research also shows that AI is currently changing tasks and working practices more than overall employment levels. More than 70 per cent of businesses reported no change in headcount so far, although employers do expect a deeper impact on jobs as adoption increases.

This research shows AI is already becoming part of everyday working life in Scotland. It presents one of the most significant economic opportunities in a generation, if businesses can exploit it effectively.

Alyn Smith

Minister for Innovation

Employers also stressed that human skills will remain essential in an AI-enabled workplace. Critical thinking, judgement and communication will help workers evaluate AI-generated information, apply it appropriately and retain human oversight of decisions.

Lynne Robson, Interim Head of Data, Insights and Impact at SDS, said: “AI is already becoming part of everyday work across Scotland, but the findings show that most organisations are still exploring how to use it effectively.

“We are at a key point in the adoption of AI as employers and workers work to realise the benefits it offers whilst ensuring its use is responsible, human-centred and aligned with changing workforce needs.

“AI is changing how tasks are carried out, but employers continue to place a high value on distinctly human capabilities. Businesses recognise that technical confidence needs be combined with critical thinking, communication, judgement and accountability if they are to use AI safely and successfully.”

The publication marks the beginning of a new Spotlight on AI series, through which SDS and CBI Economics will build an evidence base illustrating how AI is changing jobs, skills and workforce demand. Future issues will examine how different jobs, sectors and groups of workers could experience AI-related change and what this means for skills demand and workforce resilience.

AI is changing how tasks are carried out, but employers continue to place a high value on distinctly human capabilities. Businesses recognise that technical confidence needs be combined with critical thinking, communication, judgement and accountability if they are to use AI safely and successfully.

Lynne Robson

Interim Head of Data, Insights and Impact at SDS

The Spotlight on AI series is also complemented by SDS’s AI Workforce Intelligence Hub which will bring together employer insight, labour market analysis and wider evidence to provide practical intelligence on how AI is changing work, skills and workforce demand in Scotland.

The hub will help users track emerging trends, identify where action may be required and inform coordinated responses to the opportunities and risks created by AI.

Adriana Curca, Director of CBI Economics, said: “AI is developing rapidly, but its interaction with the labour market will vary across places, sectors and occupations. Scotland-specific evidence is therefore essential to understanding how jobs and skills are changing.

“The AI Workforce Intelligence Hub will uniquely combine bespoke economic modelling with direct business insight to ensure that Scotland has the evidence needed to anticipate change and support the skills system accordingly.”

Anyone interested in hearing more about the research can also register for a free webinar on the findings hosted by SDS as part of Scottish Careers Week.

Featuring contributions from SDS and CBI Economics, the webinar takes place on Thursday, 12 November at 12 noon, with registration available here.

The survey will be repeated in early 2027 to monitor changes in employer practice and perceptions, helping to strengthen the evidence on the longer-term implications of AI for Scotland’s labour market.