The adoption of digital technologies, including generative AI (GenAI), has profoundly impacted the nature of work and labour markets in India, offering new employment opportunities and increasing economic prosperity, but with unequal gains across different social groups. There is a great deal of uncertainty about the productivity potential and technological capabilities of GenAI, even as there is increased corporate interest in bringing GenAI into workflows.

Objectives of the Research

The inconclusive nature of the debate on the labour-related impacts of GenAI and the absence of any India-specific analysis in light of the increasing use of these technologies raises the question of how GenAI is expected to shape the future of work in India.

To parse some of these questions, Digital Futures Lab, with Friedrich-Ebert-Stiftung India’s support, undertook an exploratory study of GenAI’s impact on the future of work in India. We began with scanning the media and academic literature for signals of change and emerging trends on the subject. After this, we held a two-day foresight workshop in July 2024, bringing together 18 experts and practitioners from diverse disciplines and backgrounds to evaluate the likely impacts of GenAI on the future of work in India.

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We examined three core questions:

• What is the likely impact of GenAI on job creation; that is, what types of jobs are at risk of being displaced, and what new jobs might be created?
• What are the likely impacts across social groups, particularly on women and other marginalised identities?
• How might introducing these technologies influence labour rights and well-being and what new social protection mechanisms are needed? </aside>

Key Outcomes

The discussions identified several first, second and third-order impacts of GenAI use in the workplace. A few are outlined below:

First-Order Impacts and Outcomes

• The use of GenAI tools could help improve worker employability, particularly in terms of knowledge acquisition and communication skills.
• At the same time, many are also at risk of being left further behind, exacerbating social and economic equity concerns.

Second Order Impacts and Outcomes

• As the use of GenAI tools increases, it may contribute to the perpetuation of existing societal biases and stereotypes and further accentuate social inequities along the lines of gender, caste, religion, and other social markers.
• At the same time, the data services needed for building AI systems may require more specialised and domain expertise, potentially creating job opportunities for higher-skilled workers.

Third-Order Impacts and Outcomes

• The growing use of GenAI across sectors could also compromise the overall quality of data available for the development and training of new tools.
• At the same time, as more sectors get automated, the value and social standing of care work and other related professions may increase.

Tiny Tales

Workshop participants also engaged with three fictional stories to illustrate the potential impacts of GenAI on different groups of individuals. These stories focused on different scenarios – a future multi-stakeholder discussion held by the Education Minister to discuss the 2032 National Education Policy and incorporating GenAI in the education system; the impact of AI-generated voice content on regional language dubbing artists; and the usage of digital avatars by a new entrepreneur and the rights associated with them.

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Way Forward

Participants developed forward-looking policy artefacts, using certain levers that would lead to effective change. The levers of change focus on:

• Holistic labour protections
• Platform regulation for fairer systems
• Comprehensive and critical education
• A Digital Industrial Policy that evaluates opportunities in different industries

Based on these levers, participants created the following Policy Artefacts that offer desirable directions for future policy.

• Charter for Creative Worker Data Rights, which creates a clear classification of data, personal data protection, right to digital personhood, and worker data access.
• Social Protection or Insurance Policy Framework that focuses on universal access to social protection, funding mechanisms, and promoting female participation in the workforce, among others. </aside>