AI and Jobs: A New Era of Work, Not Layoffs
A study by ICRIER and OpenAI suggests generative AI is reshaping work, not causing mass layoffs. It highlights a transformation in roles and increased productivity in India's IT sector. It emphasizes the significance of workforce skilling to align with AI advancements, based on surveys and interviews with industry leaders.
- Country:
- India
A recent study conducted by the Indian Council for Research on International Economic Relations (ICRIER) and OpenAI has concluded that fears of massive job losses due to generative AI are overstated. The research, which surveyed 650 IT firms in 10 cities from November 2025 to January 2026, indicates that AI is enhancing productivity and transforming work roles rather than displacing jobs.
The study, titled 'AI and Jobs: This Time is No Different,' found that AI complements human talent, with a notable shift in how work is organized. Ronnie Chatterji, Chief Economist at OpenAI, emphasized the potential for workforce growth if skills are aligned with advancing AI capabilities. Notably, only 4% of firms have trained more than half their workforce in AI, underlining a significant growth opportunity.
Moderation in hiring, focused at the entry-level, aligns with broader industry trends post-pandemic, not solely AI adoption. Despite concerns, roles like software developers are seeing increasing demand, suggesting AI's role in amplifying technical and analytical work. Shekhar Aiyar, ICRIER's Director, stressed the study's value in providing evidence of AI's impact, crucial for policymakers navigating this technological transition.
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