2026 AI Workforce
Transformation Report
AI has transformed how engineers work — but most companies are still hiring for a pre-AI world.
Karat’s 2026 AI Workforce Transformation Report analyzes insights from 400 engineering leaders across the U.S., India, and China to reveal how organizations are rethinking strategy, measuring ROI, and identifying AI-ready talent.
Get the report
2026 AI Workforce
Transformation Report
AI has transformed how engineers work — but most companies are still hiring for a pre-AI world.
Karat’s 2026 AI Workforce Transformation Report analyzes insights from 400 engineering leaders across the U.S., India, and China to reveal how organizations are rethinking strategy, measuring ROI, and identifying AI-ready talent.
Get the report
The new hiring challenge: translating productivity into ROI
AI has boosted engineering productivity. Engineering organizations are shipping more products and features, and spending less time writing code. But that’s only part of the story. New workstreams around reviewing AI-generated outputs, improving product specifications, and testing are eating into productivity gains, while teams get more senior.
Key findings from the report:
of CIOs anticipate flat or growing headcounts.
of leaders say top engineers are now worth 5x their total compensation.
are very satisfied with the performance of their FTEs compared to just 37% who are very satisfied with contractors.
Download the report highlights for an early look at:
How AI is creating engineering leverage, not simply eliminating jobs or saving time
Where compensation systems are lagging the growing value gap between top and lower performers.
Why CIOs need to look beyond traditional engineering metrics to better align AI and workforce investments with business ROI.
Get the early preview today, and keep an eye out for the full report in the coming weeks.
Explore last year’s AI Transformation Report for a look at the trends and insights that set the stage for this year’s findings.
Report
2026 AI Workforce Transformation Report
Get the report
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