The question isn't whether AI will change work – it's whether we'll use this moment to finally build workplaces that enhance rather than diminish our humanity. Photo via Getty Images

When OpenAI's GPT-4 made headlines by passing the bar exam and scoring in the top 10 percent on medical licensing tests, I noticed something fascinating: everyone focused on AI replacing professionals, but they missed the deeper story. AI isn't just disrupting work – it's exposing fundamental flaws in how we've built our entire workplace ecosystem. It's holding up a mirror to our organizations, revealing just how far we've strayed from what makes us uniquely human.

The World Economic Forum tells us 44 percent of workers' skills will need updating by 2027, but that statistic only scratches the surface. In my conversations with business leaders, I'm watching a transformation unfold in real-time. Take the accounting industry, where I've observed forward-thinking firms like Deloitte and PwC turning their accountants into strategic business advisors while other firms continue training junior staff for tasks that AI will soon handle. This isn't just a skills mismatch – it's a fundamental misunderstanding of human potential.

The challenge runs deeper than individual industries. McKinsey predicts 30 percent of hours worked globally could be automated by 2030, but I believe they're missing a crucial point. We've spent decades designing jobs around industrial-era ideals of efficiency and standardization – the very qualities that make them perfect targets for AI automation. In our obsession with measuring, standardizing, and streamlining everything, we've created workplaces that treat humans like machines rather than the complex, creative beings we are.

What's emerging is a striking paradox: as work becomes more automated, our workplace cultures are growing more disconnected. Microsoft researchers identified a "collaboration deficit" in remote work environments, with 56 percent of employees reporting a decline in workplace friendships. This cultural shift is occurring precisely when we need human connection most. During the Great Resignation of 2021, 47 million Americans quit their jobs, they weren't leaving because of salary considerations or technological inadequacies. The most common reasons cited were lack of human connection, purpose, and authentic leadership.

Yet instead of heeding this wake-up call, the rise of AI is pushing us further apart. A decade ago, the concept of "workplace family" was commonplace – now it's often dismissed as manipulative corporate rhetoric. This shift reveals a troubling blindspot in our thinking about work. Consider this: we spend more than 90,000 hours at work over our lifetime – more time than we spend with our own families – yet we're increasingly treating these relationships as purely transactional. In our rush to establish boundaries and protect ourselves from corporate exploitation, we've overcorrected, creating sterile workplaces stripped of human connection.

This timing couldn't be worse. As someone who studies the intersection of technology and workplace culture, I've observed a clear pattern: the more we automate routine tasks, the more our success depends on distinctly human qualities like trust, emotional sensitivity, and the ability to navigate complex interpersonal dynamics. Yet we're systematically dismantling the very cultural foundations that enable these qualities to flourish. It's as if we're entering a boxing match by tying one hand behind our back – at precisely the moment we need every advantage we can get.

The real crisis isn't that AI might replace jobs – it's that we're creating workplace environments that suppress the very qualities that make us irreplaceable. When we treat our colleagues as mere interfaces rather than complex human beings, we don't just damage relationships – we damage our capacity for innovation, creativity, and the kind of deep collaboration that complex problem-solving requires.

Some companies are starting to get it right. When I look at examples like IKEA, who chose to retrain their call center workers as interior design advisors rather than simply replacing them with chatbots, I see a glimpse of what's possible. They recognized something profound: you can't automate the human ability to understand what a frustrated customer really needs, or the intuition to read between the lines of what they're saying.

This is what I call the "human edge" – and it's far more nuanced than most leadership teams realize. It's the marketing manager who can sense team tension during a video call and address it before it derails a project. It's the sales representative who builds such strong relationships that clients stay loyal through market upheavals. It's the team leader who knows exactly when to push for more and when to show compassion. These aren't just nice-to-have soft skills – they're becoming our most valuable business assets.

But here's the challenge: we're still trying to measure workplace success like it's 1990. We track productivity metrics, sales numbers, and project timelines, but how do we quantify someone's ability to defuse a tense client situation? How do we measure the value of a team leader who creates an environment where people feel safe to innovate? These human capabilities – empathy, emotional intelligence, relationship building, creative problem-solving – are increasingly what separate successful companies from failing ones, yet they're nearly impossible to capture in a performance review.

When I talk to business leaders, I tell them bluntly: if a job can be reduced to a process, AI will eventually do it better. Our value lies in all the messy, human things that happen between the bullet points of a job description. Instead of asking "How many tasks did you complete?" we should be asking "How did you help your team navigate that difficult change?" Instead of training people to follow processes, we should be developing their ability to build relationships and navigate complexity.

It's time we started treating these human capabilities not as soft skills, but as core business competencies. The question isn't whether AI will change work – it's whether we'll use this moment to finally build workplaces that enhance rather than diminish our humanity.

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Nada Ahmed is the founding partner at Houston-based Energy Tech Nexus and author of Amazon Bestseller “Determined to Lead- The Disruptive Woman's Guide to Stop Playing Small and Transform your Career through Agile Leadership.”

Talking about "personality hires"" is trending — but are they right for your company? Photo via Getty Images

Houston expert: Why employing 'personality hires' is good for your business

guest column

The concept of a “personality hire,” those who are hired more for their soft skills rather than their technical skills, has gained traction, sparking discussions and even memes on platforms like TikTok.

However, these online narratives often cast personality hires in a negative light, overlooking the unique value they can bring to an organization. In reality, personality hires can be instrumental in strengthening corporate culture. They often possess a unique blend of soft and hard skills, contributing to the company's success by boosting morale and fostering team unity.

Business leaders' big question is whether personality hires are worth adding to their organization given that their strongest contributions are creating a positive work environment. Yet, those working with a purported “personality hire” know they contribute more than good energy. Building a team of employees with differing strengths, expertise and personalities strengthens the overall success of an organization.

Personality hires can manage relationships and create team unity, and the following ways are how they can benefit the business and improve corporate culture.

Bring People Together

Personality hires possess a unique set of skills that are often undervalued. They excel at building and maintaining relationships, a crucial aspect of business. Their ability to connect with others, foster trust and understand different working styles is a valuable asset that can take years for others to develop.

One of the key roles of a personality hire is in conflict resolution. Their understanding of communication and working styles allows them to navigate disputes and find common ground in tense situations. This ability to bring balance and harmony can have a positive impact on the overall work environment and contribute to employee retention.

Bridge the Gap

A successful organization strives to establish a solid workplace culture, but it takes continuous work. Personality hires put culture into action and encourage others to follow suit. They do this by embracing their strong communication skills, boosting team morale and supporting their peers.

Personality hires naturally bring unity to the organization. Their skills help bridge the gap between the work and a positive employee experience. When employees are engaged throughout the workday, productivity levels can increase.

Provide Balance

Not everyone is on the same page regarding personality hires and their impact on an organization. Some may view them as a breath of fresh air, and others do not feel they add substantial value. To ensure a personality hire brings value beyond just team cheerleader, work to develop their skills and competencies early. This allows them to contribute to the team quickly and fully demonstrate their value, which builds trust within the team.

The success of a team is dependent on hiring the right culture fit, which includes personality and competency. It is possible to have both, but it is important to remember many hard skills can be taught, whereas soft skills are harder to teach. You want to look for people who will fit culturally within the organization and possess the skills needed to do well within the role.

There are warnings when making personality hires. Hiring people based on who you “like” or who exhibits “charm” can lead to biased hiring. Your hiring practices should not be based on personal likes or dislikes. If an organization adopts this hiring practice, it runs the risk of creating a homogenous workforce. Additionally, there are risks associated with personality assessments because they can be deemed a discriminatory practice.

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Julia Lyons-Ryle is a performance specialist with Insperity, a Houston-based provider of human resources and business performance solutions.

Companies that intentionally focus on their employees’ mental well-being will reap the benefits of a happier, healthier workforce. Photo via Getty Images

Houston expert shares 3 ways to stay on top of employee mental health

guest column

Conversations surrounding mental health have come to the forefront of business and is an imperative aspect that cannot be ignored by business leaders.

Approximately 20 percent of Americans, which is 50 million people (about twice the population of Texas), are experiencing a mental illness, 15 percent of Americans had a substance use disorder in the past year and nearly 5 percent, over 12.1 million adults, reported serious thoughts of suicide (Mental Health America). Notably, certain professions, such as construction, exhibit higher suicide rates, (CDC). With these staggering numbers, the foundation of workplace safety extends beyond physical well-being to encompass psychological health.

The landscape has undergone a transformation, stemming from the pandemic, and the stigma of mental health concerns and seeking help has loosened. Recognizing that September is Suicide Prevention Month, below are three ways businesses of every size can actively support the mental well-being of their employees.

Be Open

Long hours, physical strain and financial pressures can take a toll on employees. Many people are apprehensive to talk about mental health issues and feel it may show a sign of weakness.

Helping employees move mental health topics into everyday conversation begins with open communication. When leadership and managers listen to employees, they create an outlet for them to freely discuss their experiences and act if needed. Leadership sets the tone, and when leaders openly discuss mental health, it creates a ripple effect that encourages employees to feel more comfortable sharing their own experiences. By taking the lead in breaking the silence, leaders play a crucial role in dismantling the stigma surrounding mental health issues, fostering a workplace culture where open conversations and support are not just welcomed but embraced.

At Skanska in Houston and North Texas, we have gone as far as providing mental health first aid courses, which we call our “green sticker” program. Those who are willing to go through the training on how to talk with colleagues who may need to discuss challenges are given a green sticker to wear on their hard hat. This signifies to everyone on a job site that they are trained to discuss mental health issues and life’s challenges. In turn, these first aiders can direct them to the right resources for more in-depth assistance. Doing a simple thing like this helps break the silence and promotes mental well-being on the job site and in the workplace.

Provide Support

Shifting the workplace culture to include more open discussions has an incredible impact on employees. There are also policies companies can establish to make mental health and well-being more actionable. Employers can offer rotating mental health days or offer flexibility, which makes it easier for workers to ask for time off for a doctor’s visit or therapy session.

Also providing benefits like an employee assistance program (EAP), which is an anonymous way employees can seek mental health services or other resources for the root of the problem, such as financial and legal counseling, shows support. Employer-sponsored health screenings promote overall employee wellness, but it is another avenue where employees can address their own mental health and wellbeing in a private setting.

Stay Focused

Mental health and wellbeing concerns are much harder to spot than physical ailments, but they can have dire consequences if they are not addressed. Once the conversations start and the support is in place, it is not a time to become complacent. Leadership and managers need to continue to have regular conversations with their staff, which can help pinpoint when someone is struggling. Regular training for staff, even if they are not a mental health first aider, will help everyone stay vigilant in taking care of their own and watching out for their colleagues’ mental health.

There are numerous stressors in the workplace and when they are coupled with personal stressors, workers can be stretched thin. Companies that intentionally focus on their employees’ mental well-being will reap the benefits of a happier, healthier workforce.

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Dennis Yung is executive vice president and general manager at Skanska, one of the world's leading project development and construction groups, where he oversees building operations for Houston and North Texas.
Here are some tips to help startups and small businesses break through to candidates who are content in their current position or afraid to jump to a smaller business in today’s market. Photo by Tima Miroshnichenko from Pexels

How Houston startups can hire top talent amid 'The Big Stay' trend of 2024

Guest column

Attracting “A-plus” talent when job candidates are favoring "The Big Stay” is a challenge for small businesses today. This is especially true when small businesses are competing with larger corporations for the same top talent.

To help startups and small businesses break through to candidates who are content in their current position or afraid to jump to a smaller business in today’s market, small businesses need to strategically position themselves as an attractive, viable alternative.

The following tips can help small businesses increase their appeal and attract top job candidates.

Employer branding

The employer brand or managing your reputation among job seekers and internal employees, plays a crucial part in attracting talent. Your internal workplace culture influences current employees and potential job candidates, but it also includes your digital presence. You want to ensure your digital footprint – website to social media – reflects your values, culture and successes. Your career page is a first impression for the job candidate. Including testimonials, day-in-the-life videos and clear job descriptions enhances the appeal of your organization.

Online reviews are another area that needs attention from an employer branding standpoint. Managing your reputation on review platforms like Glassdoor, Indeed and LinkedIn, exhibits how you address concerns and take any corrective action. It is also a barometer for many job candidates regarding employee satisfaction and potential areas for improvement.

Unique selling points

Your product or service has a unique selling point (USP) for customers and your company has a USP for talent. Small businesses usually trump larger corporations in flexibility and innovation. Small businesses can make quick decisions and employees can make a big impact on the company’s direction and success. When job candidates desire to make a substantial impact and have a more dynamic work environment, this is a definitive USP.

Learning and development programs that offer greater opportunity for leadership, cross-functional work and rapid advancement than your larger competitors can be appealing to top talent. Many high performers desire to move up the ranks and make a notable impact as quickly as possible, which is quickly attainable with startups and small businesses. The pathways to career advancement are many times less rigid in small business.

Compensation and benefits

Startups and small businesses usually cannot compete head-to-head with salaries, but there are a number of other ways to make your business more attractive to top talent. Starting off, you need to do your market research to ensure your compensation package is competitive, but other desirable benefits to consider include work-from-home or flex work options, health and wellness programs, financial wellness programs and robust retirement plans. Offering flexible benefits packages that can be tailored to meet the needs of employees at different life stages can be a considerable draw as well.

Candidate experience

When you are trying to recruit candidates who may be content with their current positions, it is important to make the application process as straightforward and clear as possible. This shows attention to detail, tells the candidate that you know what you want in an employee and it is respectful of their time. Once they apply, being responsive to their communication, establishing clear timelines and providing constructive feedback further elevates the candidate experience.

Referrals

Employees are your best recruiting tool. A personal referral speaks volumes since very few recommend candidates who would not fit the culture or the jobs available. Additionally, encouraging current employees to share their positive experiences with the company on social media can help cast a wider recruiting net.

Even though many employees are choosing to stay in their current roles, startups and small businesses can position themselves as attractive employers of choice. When you intentionally position yourself in an authentic manner, top-tier talent looking for career-growth opportunities, influence and meaningful work can be lured away from large competitors that may offer more traditional stability and name recognition.

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Jaune Little is a director of recruiting services with Insperity.

How to prevent micromanaging at your Houston startup, small biz

guest column

A manager’s job is to coach their teams and create opportunities for them to succeed. Yet, as managers rise through the ranks, they are not always trained in how to delegate, trust their teams and let the little things go. If managers lack these skills, their micromanaging can quickly lead to an unhappy work environment and increase employee turnover.

A team can become even more successful when managers do not try to control and monitor everything. Instead of getting caught up in the project’s minutia, managers should focus on the bigger picture. The best approach is to delegate tasks and trust the team to complete their assignments, without interfering with the direct work.

Startups and small businesses are full of people with an entrepreneurial mindset who love to roll up their sleeves and get to work, no matter their job description. Just like frontline managers, founders and leaders need to be mindful not to become micromanagers, by giving their teams both the guidance and autonomy to make the business a success.

To prevent micromanagers from taking root in the organization, follow these tips.

Identify the micromanager

Micromanagement is not always easy for founders to detect. However, recognizing and understanding micromanagement is paramount to well-functioning teams and businesses.

When looking for signs of a micromanager, start by searching for managers who tend not to delegate and, if work is delegated, take over from their teams again and again, even after only a simple and harmless mistake. As a result, most of their time is spent overseeing others, while failing to progress on their own work. This can lead managers to lose focus on larger projects and strategy, unable to see how their daily tasks relate to the larger goals of the organization. Additionally, micromanagers request frequent updates and often find deliverables unsatisfactory.

As leaders, it is important to know the signs of micromanagement in order to prevent employee work dissatisfaction and high turnover, which is detrimental to a small business. The culture of a brand-new startup encourages everyone to do everything, which is exciting and rewarding. Managers may grow accustomed to being deeply ingrained in their employees’ day-to-day work. That said, as business scales and becomes more successful, teams expand, and micromanagement is no longer a sustainable management style.

Establish a process

Implementing a formalized process or workflow can help those who tend to micromanage track team projects. Since some use micromanagement to feel in control of a larger project, a project management system or software can help them focus on the higher-level strategy. When the company has a specific method for recording common tasks, they reduce the risk that managers will check-in too often while still lending structure to the overall projects. Beyond helping micromanagers, project management systems help everyone stay on track and communicate at every step in the process. This can increase self-management and efficiency within the organization.

Provide training

Leadership training provides the tools to improve team management and discuss the company’s expectations of managers, which can prove helpful, no matter the leader’s tenure. Management training often highlights a manager’s current leadership style, encourages self-reflection on their strengths and weaknesses, and provides the tools for growth.

Oftentimes, micromanagers are perfectionists and need to simply set their expectations with team members. These expectations can include preferred communication methods and frequency, how to ensure clarity of the tasks, workflow/project management and alerts surrounding urgent updates/mistakes. Once a manager knows their own expectations and communicates them with the team, they establish a better working environment.

Set objectives and key results

Savvy business leaders know micromanagers want to control the end goal. Setting objectives and key results (OKRs), which are actionable, quantifiable, have a deadline and ambitious, allows managers to practice control by meeting the objectives without feeling the need to control every aspect of the project. OKRs encourage managers to focus on big, impactful objectives that can be accomplished in a set amount of time.

Once the OKRs are set, regular, once a week meetings can give everyone the chance to present their progress and give group feedback on the OKRs. Management is also likelier to look at the bigger picture and allow their teams to thrive independently.

Bottom line

Teams need managers, but they need managers who provide guidance and give them the space to thrive. Addressing micromanagement does not mean managers should eliminate one-on-one check-ins or knowing a few of a project’s details. It does mean managers should trust team members to do their jobs. Mutual trust works wonders for workplace culture and a small business’s retention efforts.

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Jill Chapman is a director of early talent programs with Insperity, a leading provider of human resources and business performance solutions.

Despite the inevitability of bad hires, recruiters equipped with proper tools and training can identify red flags and take preventive measures. Photo by Tima Miroshnichenko from Pexels

How to avoid bad hiring decisions when it matters most, according to this Houston expert

guest column

Hiring the right people for the right roles is ideal and can make an organization reach new heights. The reality is every business has made a bad hire.

Finding the wrong fit for a team or organization is not uncommon, but it is important to know what it costs the organization, which can be detrimental to company finances and its workplace culture, especially small businesses and startups where the impact is magnified.

The U.S. Department of Labor reports a bad hire can cost up to 30 percent of the employee’s wage, which would be approximately $18,000 since the average American wage is $60,000. In addition, there are soft costs of managers and leadership time during the hiring and training process, which adds up quickly.

Bad hires explained

A bad hire can simply be someone who is not the best fit for the position or the company. The quality of work may not meet expectations; however, there are behaviors that can point to a bad hiring decision. New hires who were recruited due to specific knowledge or a skillset, but they do not deliver, have a negative attitude, or are disengaged, are all signs of a bad hire.

Even though hiring the best people for the job should be every recruiter’s goal, they are sometimes pressured to quickly fill the role. Once a new hire starts, it does not take long to find out if they are a bad hire. Recruitment is vital to a company’s success, so it is important to know how to identify a bad hire before they join the organization, the red flags, and the lasting impacts to the workplace culture.

Right turns, wrong fit

Business leaders most certainly think they are bringing in the right person for the job, but the wrong fit can significantly impact the organization.

Suffering morale and reduced teamwork: Incompetent employees force team members to cover their work, negatively impacting morale. If these issues persist, it signals to existing employees that suboptimal work is acceptable, which adds stress, distraction and reduced engagement.

Unmet expectations: When a new employee exaggerates their qualifications, they may struggle to meet expectations, resulting in slow or inadequate work product, which can be especially detrimental in a small business setting. This not only impacts the company financially but also demands managers’ time for oversight and performance issue resolution.

Weakened employer reputation: Startups and small businesses depend heavily on their hard-earned reputation and brand. Employees represent a company’s values, and when they fail to embody them, it can negatively influence sales, vendor relationships and recruitment efforts. Actions of employees, both in-person and online, significantly shape public perception.

Client attrition: Poor performance or unprofessional behavior can damage client relationships, leading to business losses. These client experiences may lead to lasting consequences for the company’s reputation, affecting potential clients and key partnerships, and its bottom line.

Recruiting and training challenges: The recruiting process usually spans four to six weeks, involving tasks such as drafting the job description, obtaining approvals, posting ads, resume screening, candidate communication, interviews and offer negotiations. After accepting an offer, new employees, regardless of experience, require time to familiarize themselves with the organization, its processes and job responsibilities. If a poor hiring decision is made, the recruitment process may persist, leading to extended periods of onboarding.

Preventing bad hires

Experienced recruiters can still make bad hires, but certain measures can help mitigate risks:

  • Fine-tune job descriptions. Clear and concise job descriptions aid in identifying suitable candidates and provide a better understanding of position expectations.
  • Take sufficient time. Resist the pressure to fill the role; prioritize finding the right candidate to avoid subsequent costs.
  • Standardize the interview process. Employ set questions for consistency and involve team members in behavioral and peer-to-peer interviews to assess cultural fit.
  • Check references. Verify candidates’ honesty, skills, attitude toward work, and work ethic through thorough reference checks.

Despite the inevitability of bad hires, recruiters equipped with proper tools and training can identify red flags and take preventive measures. This proactive approach ensures better preparation for attracting top talent and minimizes the impact of suboptimal hiring decisions on the company.

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Karen Leal is performance specialist with Houston-based Insperity, a provider of human resources offering a suite of scalable HR solutions available in the marketplace.

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Houston company ranks No. 13 worldwide on Forbes Global 2000 list

World's Biggest Companies

More than 60 Texas-based companies appear on Forbes’ 2025 list of the world’s 2,000 biggest publicly traded companies, and nearly half come from Houston.

Among Texas companies whose stock is publicly traded, Spring-based ExxonMobil is the highest ranked at No. 13 globally.

Rounding out Texas’ top five are Houston-based Chevron (No. 30), Dallas-based AT&T (No. 35), Austin-based Oracle (No. 66), and Austin-based Tesla (No. 69).

Ranking first in the world is New York City-based J.P. Morgan Chase.

Forbes compiled this year’s Global 2000 list using data from FactSet Research to analyze the biggest public companies based on four metrics: sales, profit, assets, and market value.

“The annual Forbes Global 2000 list features the companies shaping today’s global markets and moving them worldwide,” said Hank Tucker, a staff writer at Forbes. “This year’s list showcases how despite a complex geopolitical landscape, globalization has continued to fuel decades of economic growth, with the world’s largest companies more than tripling in size across multiple measures in the past 20 years.”

The U.S. topped the list with 612 companies, followed by China with 317 and Japan with 180.

Here are the rest of the Texas-based companies in the Forbes 2000, grouped by the location of their headquarters and followed by their global ranking.

Houston area

  • ConocoPhillips (No. 105)
  • Phillips 66 (No. 276)
  • SLB (No. 296)
  • EOG Resources (No. 297)
  • Occidental Petroleum (No. 302)
  • Waste Management (No. 351)
  • Kinder Morgan (No. 370)
  • Hewlett Packard Enterprise (No. 379)
  • Baker Hughes (No. 403)
  • Cheniere Energy (No. 415)
  • Corebridge Financial (No. 424)
  • Sysco (No. 448)
  • Halliburton (No. 641)
  • Targa Resources (No. 651)
  • NRG Energy (No. 667)
  • Quanta Services (No. 722)
  • CenterPoint Energy (No. 783)
  • Coterra Energy (No. 1,138)
  • Crown Castle International (No. 1,146)
  • Westlake Corp. (No. 1,199)
  • APA Corp. (No. 1,467)
  • Comfort Systems USA (No. 1,629)
  • Group 1 Automotive (No. 1,653)
  • Talen Energy (No. 1,854)
  • Prosperity Bancshares (No. 1,855)
  • NOV (No. 1,980)

Austin area

  • Dell Technologies (No. 183)
  • Flex (No. 887)
  • Digital Realty Trust (No. 1,063)
  • CrowdStrike (No. 1,490)

Dallas-Fort Worth

  • Caterpillar (No. 118)
  • Charles Schwab (No. 124)
  • McKesson (No. 195)
  • D.R. Horton (No. 365)
  • Texas Instruments (No. 374)
  • Vistra Energy (No. 437)
  • CBRE (No. 582)
  • Kimberly-Clark (No. 639)
  • Tenet Healthcare (No. 691)
  • American Airlines (No. 834)
  • Southwest Airlines (No. 844)
  • Atmos Energy (No. 1,025)
  • Builders FirstSource (No. 1,039)
  • Copart (No. 1,062)
  • Fluor (No. 1,153)
  • Jacobs Solutions (1,232)
  • Globe Life (1,285)
  • AECOM (No. 1,371)
  • Lennox International (No. 1,486)
  • HF Sinclair (No. 1,532)
  • Invitation Homes (No. 1,603)
  • Celanese (No. 1,845)
  • Tyler Technologies (No. 1,942)

San Antonio

  • Valero Energy (No. 397)
  • Cullen/Frost Bankers (No. 1,560)

Midland

  • Diamondback Energy (No. 471)
  • Permian Resources (No. 1,762)
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A version of this article originally appeared on CultureMap.com.

Texas plugs in among states at highest risk for summer power outages in 2025

hot, hot, hot

Warning: Houston could be in for an especially uncomfortable summer.

A new study from solar energy company Wolf River Electric puts Texas at No. 2 among the states most at risk for power outages this summer. Michigan tops the list.

Wolf River Electric analyzed the number of large-scale outages that left more than 5,000 utility customers, including homes, stores and schools, without summertime electricity from 2019 to 2023. During that period, Texas experienced 7,164 summertime power outages.

Despite Michigan being hit with more summertime outages, Texas led the list of states with the most hours of summertime power outages — an annual average of 35,440. That works out to 1,477 days. “This means power cuts in Texas tend to last longer, making summer especially tough for residents and businesses,” the study says.

The Electric Reliability Council of Texas (ERCOT), which operates the electric grid serving 90 percent of the state, predicts its system will set a monthly record for peak demand this August — 85,759 megawatts. That would exceed the current record of 85,508 megawatts, dating back to August 2023.

In 2025, natural gas will account for 37.7 percent of ERCOT’s summertime power-generating capacity, followed by wind (22.9 percent) and solar (19 percent), according to an ERCOT fact sheet.

This year, ERCOT expects four months to surpass peak demand of 80,000 megawatts:

  • June 2025 — 82,243 megawatts
  • July 2025 — 84,103 megawatts
  • August 2025 — 85,759 megawatts
  • September 2025 — 80,773 megawatts

One megawatt is enough power to serve about 250 residential customers amid peak demand, according to ERCOT. Using that figure, the projected peak of 85,759 megawatts in August would supply enough power to serve more than 21.4 million residential customers in Texas.

Data centers, artificial intelligence and population growth are driving up power demand in Texas, straining the ERCOT grid. In January, ERCOT laid out a nearly $33 billion plan to boost power transmission capabilities in its service area.

Houston ranks among top 5 cities for corporate HQ relocations in new report

h-town HQ

The Houston area already holds the title as the country’s third biggest metro hub for Fortune 500 headquarters, behind the New York City and Chicago areas. Now, Houston can tout another HQ accolade: It’s in a fourth-place tie with the Phoenix area for the most corporate headquarters relocations from 2018 to 2024.

During that period, the Houston and Phoenix areas each attracted 31 corporate headquarters, according to new research from commercial real estate services company CBRE. CBRE’s list encompasses public announcements from companies across various sizes and industries about relocating their corporate headquarters within the U.S.

Of the markets included in CBRE’s study, Dallas ranked first for corporate relocations (100) from 2018 to 2024. It’s followed by Austin (81), Nashville (35), Houston and Phoenix (31 each), and Denver (23).

According to CBRE, reasons cited by companies for moving their headquarters include:

  • Access to lower taxes
  • Availability of tax incentives
  • Proximity to key markets
  • Ability to support hybrid work

“Corporations now view headquarters locations as strategic assets, allowing for adaptability and faster reaction to market changes,” said CBRE.

Among the high-profile companies that moved their headquarters to the Houston area from 2018 to 2024 are:

  • Chevron
  • ExxonMobil
  • Hewlett-Packard Enterprise
  • Murphy Oil

Many companies that have shifted their headquarters to the Houston area, such as Chevron, are in the energy sector.

“Chevron’s decision to relocate its headquarters underscores the compelling advantages that position Houston as the prime destination for leading energy companies today and for the future,” Steve Kean, president and CEO of the Greater Houston Partnership, said in 2024. “With deep roots in our region, Chevron is a key player in establishing Houston as a global energy leader. This move will further enhance those efforts.”

According to CBRE, California (particularly the San Francisco Bay and Los Angeles areas) lost the most corporate HQs in 2024, with 17 companies announcing relocations—12 of them to Texas. Also last year, Texas gained nearly half of all state-to-state relocations.

In March, Site Selection magazine awarded Texas its 2024 Governor’s Cup, resulting in 13 consecutive wins for the state with the most corporate relocations and expansions.

In a news release promoting the latest Governor’s Cup victory, Gov. Greg Abbott hailed Texas as “the headquarters of headquarters.”

“Texas partners with the businesses that come to our great state to grow,” Abbott said. “When businesses succeed, Texas succeeds.”

CBRE explained that the trend of corporate HQ relocations reflects the desire of companies to seek new environments to support their goals and workforce needs.

“Ultimately, companies are seeking to establish themselves in locations with potential for long-term success and profitability,” CBRE said.