RIYADH: Artificial intelligence is becoming embedded across workplaces in the Middle East, with 75 per cent of employees using AI tools at work in the past year, higher than the global average of 69 per cent, a new study shows.
According to PwC's 2025 Middle East Workforce Hopes and Fears Study, the region is outpacing its global peers in implementing AI into daily operations, driven by government and corporate digital transformation efforts.
The survey, based on responses from 1,286 employees, shows that the use of AI has moved beyond piloting, with 32% of employees using generative AI tools daily. This is higher than the global average of 28% and reflects growing familiarity with AI-driven workflows.
This finding is consistent with trends observed in Saudi Arabia, where advanced technologies such as AI are widely adopted across the workplace.
A report published by KPMG in November highlighted the Kingdom's progress in the technology sector, noting that 84% of Saudi CEOs are ready to responsibly adopt AI, well above the global standard of 76%, and supported by the Kingdom's data governance ecosystem, including national initiatives led by the Saudi Data and Artificial Intelligence Authority.
Earlier this month, data from the Global AI Index revealed that Saudi Arabia ranks fifth in the world and first in the Arab region for AI sector growth.
Commenting on the findings, Randa Berson, partner at PwC Middle East, said: “Employees also want to feel safe and supported as they confidently embrace change, build new capabilities, and demonstrate incredible adaptability with AI.”
It added: “Organizations that provide clarity on how roles evolve, expand access to learning and protect health will be the ones that retain talent and advance in a rapidly changing labor market.”
Adapting to a technology-driven future
A new study from PwC found that the Middle East's workforce is confidently leading the way in integrating AI into daily work, while prioritizing job security and skills development at a higher rate than the global workforce.
According to the report, 49 per cent of employees in the region expect technological change, including AI, robotics and automation, to have a large or very large impact on their jobs over the next three years, compared to 45 per cent globally.
PwC said this trend reflects increased adoption across the region, as well as increased readiness and comfort for next-generation technologies.
Employees in the Middle East increasingly view emerging technologies as tools to enhance productivity and creativity, rather than threats to job security.
Approximately 8 in 10 employees say AI has increased their productivity, with 87 percent reporting improved quality of work and 84 percent citing increased creativity.
High level of trust among young employees
The survey found that younger workers in the region express the highest confidence in the potential of AI, with Millennials and Gen Z being the most hands-on users of AI tools. These groups are rapidly adopting new technologies, often outperforming older groups in both usage and creative applications.
“This puts early career employees in a strong position to adapt to the evolving technological demands of entry-level roles,” PwC said.
It added: “For employers, this is an opportunity to leverage young talent to accelerate digital adoption and performance, while providing guidance, clarity and support as AI continues to reshape the future of work.”
Get the tools
Research shows that skills development remains a critical priority for the Middle East's workforce.
According to the report, 69 per cent of employees in the region learned new skills in the past 12 months, compared to 56 per cent globally.
Around 81% of respondents said they wanted a job that offered them the opportunity to develop transferable skills, higher than the global average of 69%.
Job security also emerged as a top priority, with 85% of employees saying it was very important.
“As Middle East employees seek balance and flexibility, their expectations for career progression and compensation are also evolving. Fewer employees are asking for a pay rise than last year, indicating a more cautious labor market,” PwC said.
The report found that employee engagement levels in the Middle East remain among the highest in the world, with 78% of employees in the region saying they look forward to coming to work, compared to 64% globally.
Despite this high level of engagement, 45% of employees say they feel tired at least once a week, and almost half report feeling overwhelmed, indicating that workload intensity is a key pressure point.
Turn momentum into advantage
PwC highlighted several actions that organizations should prioritize to turn the current AI momentum into a lasting advantage.
The company said companies need to clearly and consistently communicate where AI technology will be deployed, what will change throughout the process, how jobs will be impacted, and where new value will be created.
The report also highlighted the importance of building a continuously evolving, future-ready, skills-first workforce that can harness the full potential of AI.
“Leaders need to ensure that upskilling, reskilling and capability building goes beyond routine efforts and becomes a key element of the organization's forward-looking business strategy,” PwC said.
It added: “This means identifying future skills needs early, assessing current capabilities to understand gaps, and using that insight to create development paths tailored to roles, seniority and diverse career trajectories.”
Companies must also foster a culture of agility and innovation, and enable managers to effectively support AI-enabled teams.
PwC said managers must have the clarity, tools and protected time they need to lead their teams, support skill development and manage workloads in a way that keeps employees engaged and healthy.
“This can be achieved by setting clear performance expectations for managers regarding employee development and wellbeing, and supporting them with the knowledge and guidance they need to meet these responsibilities,” PwC added.
Organizations must also prioritize flexibility, autonomy, and balanced workloads to maintain high performance, giving employees freedom and clarity to effectively manage their work.
The report suggests that employees may be able to perform at their best by expanding flexible working arrangements, giving them more autonomy in day-to-day decision-making, and giving teams a greater say in how work gets done.
“The Middle East's workforce continues to demonstrate a powerful blend of optimism, ambition and adaptability. The challenge now is for leaders to strengthen these strengths through vision, transparency and care, ensuring that technology, trust and talent move forward together,” the report concludes.
Earlier this month, a KPMG report took a similar view, saying UAE CEOs are accelerating investment in artificial intelligence, prioritizing talent, skills and responsible innovation as core drivers of future growth.
According to the report, 84% of CEOs in the UAE expect to expand their headcount over the next three years, and 80% have already redesigned their roles to integrate AI collaboration across their businesses.
