Report: Workforce shortages, security fears among biggest hindrances to agency AI adoption
A survey commissioned by Google Public Sector and conducted by Government Executive analyzed the ongoing AI adoption efforts in the federal government and found that nearly 90% of respondents working for agencies are “planning to or are already using AI.”
“According to survey respondents, the question is no longer if the federal government will adopt AI, but how fast its new role as an AI accelerator will drive transformation across the entire public sector,” a Google Public Sector blog post about the findings reads.
Despite this enthusiasm, few federal agencies have finished their individual AI adoption plans, with only 12% of surveyed civilian agencies reporting completed AI adoption, and just 2% of defense agencies saying the same. The report noted that many agencies are still in a piloting phase for the AI tools they want to implement in their operations.
When asked about specific hurdles preventing agencies from completing their AI adoption plans, respondents identified several common denominators, including security confidence, workforce challenges and technology reliability.
“Security confidence is slipping as AI expands,” the blog post reads. The report found that 66% of respondents reported moderate-to-high confidence in their agency’s digital security posture, but a separate 39% said that their confidence had declined over the past year.
This concern stems from agencies that are struggling to reconcile their legacy technology with advanced and emerging threats, according to the report.
Procurement challenges and a lack of skilled workers were also noted to slow AI adoption progress. Survey respondents cited budget constraints as the major hindrance preventing new tech acquisitions, with 55% noting a lack of employees with the skills and training to help usher in AI adoption.
For agencies that have succeeded in incorporating AI into their mission areas, 65% are leveraging AI tools for document and data processing, while 45% are using it for workflow automation needs.
Predictive analytics are a popular use case for civilian agencies, while defense agencies said they are prioritizing decision support capabilities.
Modernizing federal technology systems has been a priority item across the government for several years, as emerging technologies like AI offer major benefits for government operations but simultaneously pose great risk. Initiatives like OneGov at the General Services Administration aim to help facilitate AI adoption and modernization efforts, along with other ongoing efforts to streamline technology permitting processes.
Major losses of federal workers spearheaded by the Department of Government Efficiency in early 2025 have also targeted technology teams, like 18F at the GSA.
The Office of Personnel Management and President Donald Trump established the U.S. Tech Force in December to hire private sector technologists for two-year stints in government to help with advanced technology projects.
Editor’s note: Research for this report was performed by Government Executive, Nextgov/FCW’s parent company.
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