The rise of AI casts huge uncertainty as to its impact on workers across skill levels, which can lead to barriers for sustainable growth of the Indian economy, the Survey said
It further emphasised that overcoming these challenges will require a joint effort by the central and state governments as well as the private sector
Further, the Economic Survey also put the onus on the corporate sector to explore ways in which AI can augment labour instead of displacing jobs
The advances in artificial intelligence over the coming decades threaten to leave workers across skill levels exposed to job losses, which can create barriers for sustainable growth of the Indian economy, the Economic Survey 2023-24 said.
“The advent of AI casts a huge pall of uncertainty as to its impact on workers across all skill levels – low, semi and high,” the survey said.
It further emphasised that overcoming these challenges will require a joint effort by the central and state governments as well as the private sector.
Further, the Economic Survey also put the onus on the corporate sector to explore ways in which AI can augment labour instead of displacing jobs.
This comes days after Tata Consultancy Services (TCS) chairman N Chandrasekaran reportedly said that AI and GenAI will lead to automation of jobs in certain sectors, upending careers of many.
During his India visit in June last year, OpenAI founder Sam Altman also said that AI could disrupt the global job market. However, he also highlighted the emerging technology’s potential to create new employment opportunities.
Last year, Zoho cofounder and ace entrepreneur Sridhar Vembu also expressed concern that AI can potentially lead to millions of job losses overnight and called for regulating the space.
Meanwhile, the Economic Survey also cited a staff discussion note of the International Monetary Fund, released in June, that raised concerns about massive labour
disruptions and inequality due to GenAI.
“In any case, deploying capital-intensive and energy-intensive AI is probably one of the last things a growing, lower-middle-income economy needs,” the Survey said.
The development comes amid increasing AI adoption in the country across key sectors such as fintech, healthcare, and IT services.
Earlier this year, the government greenlit the IndiaAI Mission with an allocation of INR 10,372 Cr for the next five years with the goal of spurring innovation in the homegrown AI ecosystem.
