Contact: Communications Manager Jess Miller, jess@madisonbiz.com, 608-443-1952
National economic pressures top business concerns; AI adoption continues to increase
MADISON, WI – Today, the Greater Madison Chamber of Commerce released findings from the third annual Next Normal (N²) Regional Employer Survey, which was created to better understand the future of work and workplaces in Wisconsin’s Capital Region.
All regional employers were invited to participate, and responses were collected from 218 organizations throughout September. While participants represented a diverse group of industries and locations, most responses came from small, locally owned businesses.
A detailed summary of the survey findings can be found here. Key findings include:
- Local optimism persists despite national economic uncertainty. While 61% of respondents cited economic uncertainty as a barrier to business, 92% of employers reported stable or growing workforce and 81% reported stable or growing revenue. Expectations for growth in 2027 remain equally strong.
- Talent availability continues to improve, but challenges remain. Access to talent fell from the first to the fourth most-cited barrier to business growth, reflecting continued progress in regional workforce development efforts. Strong employer engagement with local educational institutions and training programs is helping strengthen the region’s talent pipeline.
- National economic pressures top business concerns. Economic uncertainty, inflation, health care costs and trade/tariffs are among the most-cited barriers to business growth.
- Employer adoption of AI continues to rise, but operational integration lags. 83% of employers reported using AI, up from 79% in 2025 and 51% in 2024. Despite growing adoption, more than half of AI-using employers characterize integration into their operational workflows as minimal.
“Though many respondents cited economic uncertainty and domestic and global headwinds as barriers, the overall outlook for the region’s business climate remains positive,” said Chamber Vice President Kevin Little. “Employers continue to demonstrate confidence in the region’s economy, with strong expectations for growth in the year ahead.”
Nearly a quarter of this year’s survey responses came from Rock County employers. Kari Swirth, president and CEO of the Greater Beloit Chamber of Commerce, noted the consistent responses across county borders reflects increasing regional economic conditions and connectivity. “Beloit’s future is directly connected to the strength of the broader region,” said Swirth. “When our communities, educational institutions, and business leaders work together, we create greater opportunities for businesses and residents alike.”
“The capital region’s future is bright when we work together,” added Forward Janesville President and CEO Shar Hermanson. Hermanson also highlighted the growing relationship between businesses and educational institutions. “With strong educational resources and a shared focus on connecting employers with quality talent, we have a solid foundation for continued progress.”
Talent availability was another area of improvement in this year’s survey. “These results reflect what’s possible when industry, education, economic development and workforce partners work together,” said Seth Lentz, executive director of the Workforce Development Board of South Central Wisconsin. “Sustained industry engagement with educational institutions will continue to raise the quality of talent throughout our region.”
The 2026 N² Workgroup includes the Capital Area Regional Planning Commission, City of Madison, Destination Madison, Downtown Madison Inc., Forward Janesville Inc., Greater Beloit Chamber of Commerce, Greater Madison Chamber of Commerce, Madison Area Builders Association, Madison Black Chamber of Commerce, Madison’s Central Business Improvement District, Madison Gas and Electric Company, StartingBlock, University Research Park, Urban Land Interests, and Workforce Development Board of South Central Wisconsin.
###
About the Greater Madison Chamber of Commerce: The Greater Madison Chamber of Commerce is the voice of business with more than 1,200 organizations – ranging from one-person shops to corporations with more than 15,000 employees – working to bring the Greater Madison area to its full potential. The Greater Madison region is a leader in innovation. From cutting-edge technologies to distinctive retail shops to inventive services and products, our members vary greatly but are united by the region’s entrepreneurial spirit. More information can be found at madisonbiz.com.
