India’s Multidimensional Employment Crisis in the Age of AI - Challenges and the Way Forward

21-04-2025

06:37 AM

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India’s Multidimensional Employment Crisis in the Age of AI - Challenges and the Way Forward Blog Image

Context:

  • In the past, waves of innovation, such as assembly lines or steam engines, have mostly affected low-skilled, blue-collar jobs.
  • Later, the digital revolution affected white-collar jobs through software and outsourcing.
  • The AI era, however, is distinct. India is facing a multidimensional employment crisis - one that is both visible and invisible.

A Dual Employment Crisis:

  • Visible crisis:
    • Youth unemployment: Over 80% of unemployed Indians are youth, many with secondary or higher education.
    • Disengagement: 1 in 3 young Indians is disengaged from both work and learning.
    • Job creation needs: India must create over 90 million new jobs by 2030, many in yet-to-emerge fields.
  • Invisible crisis:
    • Changing nature of work: Rise of AI, automation, and data-driven systems is reshaping work across sectors.
    • Key concern: Every worker must ask - “How replaceable is my job with technology?”

AI Era - A Paradigm Shift in Job Disruption:

  • The AI age disrupts all levels - from low-wage laborers to high-skill professionals (e.g., programmers, designers, artists).
  • Creative and analytical jobs are increasingly at risk due to generative AI.

The Core Competency - Adaptability through Learning:

  • Job security matrix:
    • Low-skill, low-replaceability jobs may survive
    • High-skill or low-skill but high-replaceability roles are most vulnerable.
    • Reskilling and lifelong learning emerge as the only durable edge.
  • Essential skills:
    • Tech literacy: Understanding digital systems, AI, automation.
    • Data literacy: Ability to interpret and act on large volumes of information.

Education for the Future - A Humanistic Approach:

  • Joseph Aoun’s “Humanics” framework:
    • Technical ability: Skills to work with machines and augment productivity.
    • Data discipline: Strategic thinking using algorithmic and analytical tools.
    • Human discipline: Creativity, empathy, contextual reasoning — uniquely human capabilities.
  • Shift required: Move from rote learning to experiential, interdisciplinary, and lifelong learning models.

Micro-Credentials - Modular Learning for a Modular Future:

  • Definition and importance:
    • Micro-credentials are short, focused certifications offering stackable learning experiences.
    • Already being embedded in global universities across disciplines.
  • Application in India:
    • Could reform India’s rigid, degree-centric higher education system.
    • Encourage interdisciplinary learning - e.g., data visualisation for political science or AI tools in historical research.

Strategic Imperatives for India:

  • Embed literacy in education:
    • Integrate tech and data literacy from school to college.
    • Train educators to become facilitators of future-ready skills.
  • Promote lifelong learning:
    • Encourage accessible, modular upskilling over traditional degree paths.
    • Support micro-credential ecosystems aligned with evolving job markets.
  • Foster cross-sectoral tech integration:
    • Apply AI and data tools across arts, agriculture, healthcare, and policy-making.
    • Enable personalised learning pathways to prepare for jobs that don't yet exist.

Conclusion - Shaping the Future of Work:

  • The future of work is uncertain but within control.
  • India must cultivate problem-solvers, creators, and adaptive thinkers.
  • Focus should not just be on AI engineers, but on empowered individuals across sectors who can lead in a tech-driven global economy.

Q1. Discuss the visible and invisible dimensions of India’s current employment crisis.

Ans. The visible crisis includes high youth unemployment and disengagement from work and learning, while the invisible crisis stems from the changing nature of work due to AI and automation, threatening jobs across all skill levels.

Q2. How is the nature of technological disruption in the AI era different from previous industrial revolutions?

Ans. Unlike earlier disruptions that primarily affected low-skill or specific sectors, the AI era impacts a broad spectrum of jobs, including high-skilled, creative, and analytical roles, making no profession immune.

Q3. What is the significance of “Humanics” in preparing a future-ready workforce?

Ans. "Humanics," proposed by Joseph Aoun, emphasizes a triad of technical ability, data discipline, and human-centric skills like empathy and creativity to equip individuals for a world driven by intelligent machines.

Q4. Examine the role of micro-credentials in reshaping India’s higher education and workforce development.

Ans. Micro-credentials offer flexible, modular learning that enables continuous upskilling and interdisciplinary competence, making them vital for adapting to evolving job roles and bridging the skills-employability gap.

Q5. Why are tech and data literacy considered foundational capabilities in the context of future employment?

Ans. Tech and data literacy empower individuals to understand and adapt to AI-driven systems, enabling informed decision-making and enhancing employability across diverse sectors. 

Source:IE