BPO tasks are highly repetitive and can be easily offshored, making them suitable for automation. Outsourcing jobs in India and the Philippines are already changing as AI becomes part of workflows. And workers feel it too.
For example, Ponce’s company is deploying an AI assistant for its customers. “If the AI helps them, the problem is resolved immediately. Instead… it gets transferred to a real agent and we don’t have any tasks to work on,” he said.
“I have heard from the news and other BPO friends that some people have lost their jobs…especially those working in chat support.”
In Bengaluru, AI is disrupting coding, another commonly outsourced task. Mukund Jha is helping to drive change as CEO of Emergent Labs, an app building platform that lets anyone write code using AI.
“We’re going to have to rethink the entire outsourcing industry,” said the startup’s co-founder. He believes there is a “significant risk” that 2 million to 3 million people will face disruption.
“Before…software development was very expensive. It used to be very time consuming and we would outsource it to India…and do it cheaper. But what’s happening now with AI is that anyone can now develop it.”
CNA Insights investigates whether concerns about job losses are simply fear-mongering or whether the AI-driven employment apocalypse has begun in the outsourcing capital of the world.
Video: Outsourcing jobs in India and the Philippines are changing, and workers are feeling it (46:04)
