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AI and Employment

Fourth Industrial Revolution Dynamics

The relationship between AI and employment is a critical policy question globally. The World Economic Forum's Future of Jobs Report projects that AI and automation will displace 85 million jobs globally by 2025 while creating 97 million new roles, resulting in a net positive of 12 million jobs. India, with its large IT services workforce of approximately 5.4 million people, is particularly exposed to AI-driven transformation but also stands to benefit from AI-augmented service delivery.

Key details
  • India's IT-BPM sector revenue: approximately US$254 billion (FY2024)
  • IT services workforce: ~5.4 million direct employees
  • AI-related job postings in India grew significantly between 2022-2025, particularly in data science, ML engineering, and AI ethics roles
  • Key policy responses: IndiaAI FutureSkills programme (under IndiaAI Mission), National Education Policy 2020's emphasis on digital and computational skills, Skill India Digital Hub
  • NASSCOM estimates that India needs to upskill 1-2 million workers in AI-related competencies by 2027
  • The "AI for All" framework emphasizes inclusive AI deployment that creates opportunities across economic strata rather than concentrating benefits
In the news

Tracked since February 14, 2026 · last seen February 24, 2026 · updates as the daily brief publishes

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