AI is often linked to job losses, but new research suggests it may actually help small businesses expand their workforces, Inc. reports.
A Gusto survey of roughly 2,000 small businesses finds that 64% are experimenting with AI, and nearly two-thirds of those businesses say the technology is making it easier to launch or operate their businesses. AI adopters increased their head count by about 7% more than comparable businesses that did not adopt the technology, suggesting that productivity gains can create opportunities for additional hiring rather than simply replacing workers.
The businesses studied added employees in customer-facing and hands-on positions, including therapists, care workers, teachers, technicians, cooks and some front-desk and administrative staff. Researchers say AI can absorb routine tasks such as scheduling, marketing and research, freeing owners to focus more on customers and growth.
One business owner reports saving about $5,000 a month in software costs while nearly quintupling organic sales after using AI for automated content marketing, wholesale research and outreach. The findings come as AI continues to raise concerns about job displacement— one consulting firm reports that AI was responsible for almost 55,000 U.S. layoffs in 2025.
Still, experts say AI can give small teams access to capabilities that previously required more employees or outside support. By helping businesses serve more customers, move faster and enter new markets, AI could ultimately support hiring and business growth.
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