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Economy

White-Collar Workers in India: A Rising Tide of AI Anxiety

Friday 23 August 2024 - 17:00

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A significant proportion of knowledge-workers in India anticipate job displacement due to artificial intelligence (AI) within the next five years, according to a recent study.

A groundbreaking report from the Indian Institute of Management Ahmedabad (IIMA) has unveiled profound concerns among India's white-collar workforce regarding the impact of artificial intelligence on their careers. The study, titled “Labour Force Perception about AI: A Study on Indian White Collar Workers,” underscores a growing unease that AI could disrupt employment in sectors previously deemed secure.

Released today, the report provides an in-depth analysis of the perceptions and fears surrounding AI among Indian professionals. The Indian Express, which gained early access to the study, has summarized its key findings.

The research, conducted by the IIMA’s Brij Disa Centre for Data Science and Artificial Intelligence, reveals that 68% of surveyed participants expect AI to partially or fully automate their jobs within the next five years. This figure suggests that apprehensions about AI are more widespread than initially estimated. Furthermore, 40% of respondents believe their current skill sets will become outdated, emphasizing an urgent need for reskilling and adaptation.

The study offers a sector-specific breakdown, indicating that employees in the education and healthcare industries are particularly worried about AI's impact. In the education sector, 78% of workers believe their jobs will be automated, while 70% of healthcare professionals share similar concerns.

Notably, despite anticipating significant automation, these sectors have lower expectations for AI-driven job creation. Only 52% of education sector workers and 42% of healthcare employees foresee AI generating new job opportunities in their fields.

This discrepancy in expectations highlights a broader uncertainty about the future of work in an AI-driven economy. The report points out that while sectors like information technology and manufacturing are proactively training employees in AI, others, such as retail, trade, and infrastructure, are falling behind. This disparity could result in a fragmented job market where some industries flourish, and others struggle to adapt.

Beyond India, the study's findings have broader implications, particularly for countries in the Global South, such as Morocco, which are transitioning to knowledge-based economies. In these regions, the integration of AI presents both opportunities and challenges. On one hand, AI offers the potential to accelerate development and drive economic growth. On the other hand, unequal access to AI training and technology could exacerbate existing economic disparities.

As AI continues to transform the global job market, the IIMA study reflects the anxieties of India's white-collar workers, echoing a broader concern likely shared across the developing world. The report underscores the need for strategic planning and investment in reskilling programs to ensure a smoother transition into an AI-driven future.

This comprehensive analysis provides valuable insights into the evolving landscape of employment and the critical role of AI in shaping the future of work.