Since the advent of AI in 2019, the Indian job market has undergone dramatic changes. The entry of OpenAI was a turning point, automating routine tasks and disrupting employment sectors such as data entry and call centers. But the AI wave has also brought about an explosion of opportunities in data science, engineering, and machine learning, creating a new landscape of highly skilled jobs. Mint is speaking to employment experts to explore the impact of AI on employment in India after its emergence.
Experts told the Mint that AI is causing both disruption and adaptation, and that challenges such as the digital divide coupled with social unrest are hindering AI's potential to revolutionize traditional sectors such as agriculture, healthcare and education. He said there is a balance between genders.
The World Economic Forum (WEF) predicts that by 2025, AI will create 12 million more jobs than it will replace. India has a talent base of 416,000 AI professionals as of August 2023, compared to a current demand of around 629,000, and this number is expected to grow rapidly. According to the Wheebox National Employability Test (WNET) report, there will be 1 million by 2026.
Youth employability surged to 51.25 per cent, with Haryana, Maharashtra and UP leading in talent concentration, the report added.
More than 85% of employers predict that AI will create new job opportunities within the next 1-5 years. This optimism is shared by approximately 63% of job seekers, with 53% believing that AI will create more jobs. In sectors such as education, healthcare, media, finance, and technology, 50-65% of job seekers have great enthusiasm for AI adoption. However, industries such as construction, logistics, government, and transportation have had a more modest response, an Indeed India survey found.
What is the overall impact of AI?
AI is already changing the way we work, and its impact will only continue to grow. Ruchee Anand, senior director of talent and learning solutions at LinkedIn India, says AI is designed to enhance human capabilities and help us, rather than replace humans.
AI is still in its infancy. His head of HRSS, Fujitsu International Region, Sumit Sabharwal, said the negative impact has been minimal.
According to Jaideep Kewalramani, COO and Head of Employability, TeamLease, an edtech company, AI will have a major impact on India's employment sector by automating several tasks, leading to job losses in some industries. Not only that, but it is also creating new opportunities in AI-related fields.
However, job seekers in India have concerns such as the need to reskill or upskill, potential turnover concerns and ethical considerations, said Sashi Kumar, head of sales at Indeed India.
AI has also provided a promising solution for relying on objective criteria such as qualifications and skills to address hiring bias and minimize the impact of unconscious bias in hiring decisions. “AI tools promise up to 40% bias reduction and can help increase gender, racial and background diversity within teams,” he said, co-founder of ANSR and CEO of Talent500. says Vikram Ahuja.
In which sectors has AI boosted employment?
Jobs such as data scientists, data analysts, machine learning, cloud engineers, and stack developers are in high demand in both technology and non-tech sectors, with the company expected to hire 11.15 people by 2027, up from 7.65 today. We are aiming for Munira Loliwala, AVP (Strategy and Growth at TeamLease Digital) said:
“While some jobs are shrinking, new ones are blooming. AI development, data science, cybersecurity, and robotics engineering are experiencing strong growth, creating exciting opportunities for tech-savvy individuals. Balasubramanian A, Vice President and Business Head, TeamLease Services.
Karthik Sridharan, co-founder and CEO of Flexiple, asserted that AI has opened the door to new industries, skills and opportunities. AI has opened up opportunities in areas such as consumer apps, CRM applications, learning products, and financial apps.
LinkedIn data shows that the AI-powered shift will change in-demand skills by 65% by 2030. Gen Z is thought to be eager to learn new skills. “Since September 2021, LinkedIn learners have grown 1.1x and are spending 1.8x more time learning,” said Anand from LinkedIn India. According to LinkedIn research, some of the top skills are investing in programming languages and data science. , cloud computing, data analysis, and project management skills.
Felix Kim, co-founder and CEO of Redrob, commented on the impact of AI on various opportunities. AI will further widen the gap between skilled and unskilled workers. ”
Which sectors are experiencing reduced opportunities?
According to Gartner research, 69% of administrative tasks can be automated, highlighting the need for a strategic blend of AI and human capabilities.
Automated systems and AI algorithms are impacting work in this field because they can handle data entry and processing tasks more efficiently than manual labor. AI-powered chatbots and virtual assistants have streamlined customer service, revealed Devashish Sharma, founding member and CEO of Taggd.
Additionally, the legal, accounting, and finance sectors are also being negatively impacted by AI. Kim said salaries have fallen by 30% over the past 10 years when accounting for inflation, especially in developed countries like the United States.
AI does not necessarily have a net negative impact on each sector. Rather, it is transforming the employment landscape, demanding new skill sets and creating opportunities in emerging sectors, says foundit CEO Sekhar Garisa.
Sarbojit Mallick, co-founder of Instahyre, said administrative roles, manual labor in manufacturing, some transportation jobs, telemarketers, and basic accounting and bookkeeping could be at risk from AI. He pointed out that it is part of a daily routine.
Improve your skills for the AI era
Candidates need to update their skill sets to leverage AI tools to enhance their work. Additionally, aligning your skills with those in demand will improve your chances of landing a role and improve your ability to earn a better salary, Sridharan said. Additionally, according to Kewalramani, you can also prepare by learning his AI skills such as programming, machine learning, data analysis, data science, and prompt his engineering.
LinkedIn's Anand emphasized that hard skills are not the only skills being focused on. He says, “Millennials and Generation X are spending time learning soft skills such as personal effectiveness, self-development, leadership, and management.”
According to Shiva Prasad Nanduri, CEO of Diensten Tech Ltd (DTL), the evolution of AI will not only result in job losses but also create new opportunities in AI development, maintenance and monitoring.
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