AI and GenAI to Result in Job Losses, Says N Chandrasekaran

AI Will Generate More Job Opportunities In India: N Chandrasekaran

SUMMARY

Chandrasekaran said that reskilling and preparing employees to embrace this change is the best way forward

As per Chandrasekaran, GenAI will impact every industry, both consumer and B2B

Most of the Indian startups have also started deploying AI which is resulting in retrenchment across various verticals

Tata Consultancy Services (TCS) chairman N Chandrasekaran has said that artificial intelligence and generative AI will lead to job losses in certain sectors undergoing automation, resulting in higher productivity.

Speaking at the company’s 29th annual general meeting (AGM), Chandrasekaran said that reskilling and preparing employees to embrace this change is the best way forward.

As per a Monecontrol report, Chandrasekaran said, “In certain areas, AI and Gen AI will automate stuff that will result in higher productivity and job losses. But in some other cases AI will require a lot more capability and a lot more jobs will be created in certain areas like data management, and so on and so forth…it’s a mixed bag and we have to actively embrace it to reskill people and prepare them to embrace the change.”

As per Chandrasekaran, GenAI will impact every industry, both consumer and B2B. However, the consumer industry will be more noticeably affected as AI enhances personalisation and improves the user experience in financial services, healthcare, insurance, retail, and more.

Chandrasekaran also mentioned that the Tata Group consistently has at least 100 active generative AI projects in the pipeline.

Earlier in February, Krithivasan had stated that AI and GenAI would not lead to a reduction in hiring or job displacement, but rather change the way the IT services giant trains its employees.

Besides, in August 2023, Chandrasekaran said that AI will create more jobs in India as it will help people with less skills to perform high-level jobs.

The AI revolution has swept the world of work by storm. Sectors such as IT, hospitality, and banking are striving to upskill their workforce, but anxieties have long plagued the future of work.

Most of the Indian startups have also started deploying AI which is resulting in retrenchment across various verticals.

For instance, last month, Paytm fired hundreds of employees citing the increasing usage of AI-led automation. The company has been adopting AI wherever possible to drive up efficiency, which resulted in layoffs.

In January, adtech unicorn InMobi’s adoption of an AI-first approach led to job losses for 125 staff, approximately 5% of its 2,500-strong workforce.