AI vs. Indian Workforce: Guess Who’s Winning?

India, a nation once synonymous with outsourcing and call centers, is now emerging as a global powerhouse in artificial intelligence (AI) and machine learning (ML).

In a country where 67% of the workforce is actively upskilling, AI isn't a harbinger of doom but a catalyst for reinvention. Instead of being outpaced by robots, Indian professionals are outsmarting them, turning what many see as a threat into an opportunity to future-proof careers. This isn’t the rise of AI; it’s the rise of the human spirit in a tech-driven world. 

With the rise of generative artificial intelligence (GenAI), the gig economy, and an ever-intensifying demand for technological innovation, how can India prepare its workforce for the challenges ahead?

In a discussion with Dataquest, Karthik Suri, Chief Product Officer at Cornerstone, sheds light on the evolving dynamics of the Indian labor market, highlighting the pivotal role of AI in reshaping industries and upskilling millions.

The Evolution of the Workforce Landscape

India’s workforce is undergoing a seismic shift, driven by a convergence of social, technological, and geopolitical forces. With five generations coexisting in the workplace, each bringing unique expectations and needs, the task of workforce development has become increasingly complex.

"The Indian workforce landscape is in the midst of rapid transformation," says Suri. "There is a notable shortage of skills as the demand for new competencies far outpaces the development of existing ones. This has created what we call a workforce readiness gap."

He emphasizes the accelerating impact of technologies like AI, particularly GenAI, which are simultaneously driving the need for upskilling and creating opportunities for personalized, adaptive learning.

"AI will reimagine the employee experience," Suri explains. "From personalized coaching and in-the-flow work guidance to conversational HR platforms, these technologies have the potential to supercharge employee development and unlock long-term productivity."

But Suri cautions that businesses must adopt AI responsibly, not just as a tool to automate mundane tasks but as a transformative force to empower employees. "The true power of AI lies in its ability to augment human capabilities, fostering innovation and resilience," he says.

In-Demand Skills: Today and Tomorrow

India is at the forefront of the global skills revolution, with a burgeoning demand for expertise in emerging technologies such as data analytics, AI, and machine learning (ML). According to Cornerstone’s 2024 Annual Trends: Global State of the Skills Economy report, India leads the world in data analytics job postings, accounting for 17.4% of global demand.

"Businesses are looking for professionals who can turn vast amounts of data into actionable insights," Suri says. "This demand will only grow, especially in sectors like finance, healthcare, and e-commerce."

He also highlights the rise of nascent fields like augmented reality (AR) and virtual reality (VR), which have seen global job postings increase by 154% over the past five years.

Looking ahead, Suri identifies three forces shaping India’s skills landscape:

1. Globalization of GenAI: As GenAI expands beyond traditional tech hubs, India has an opportunity to drive democratized and inclusive AI innovation.
2. The Gig Economy: Flexible work models are driving demand for transferable, adaptable skills.
3. Continuous Upskilling: With 87% of global executives reporting workforce skill gaps, the pressure to upskill is intensifying.

Bridging the Skills Gap

The workforce readiness gap is not just a challenge but an opportunity for transformation. Cornerstone is addressing this issue with its AI-powered Cornerstone Galaxy platform, which Suri describes as "a workforce agility platform designed to future-proof organizations."

Galaxy uses advanced AI to map organizational skill requirements against existing talent, identifying gaps and recommending targeted solutions.

"For instance, if a company needs a certified machinery operator with specific language skills in a particular location, Galaxy can pinpoint the ideal match within the organization," Suri explains.

The platform also offers personalized career pathways, allowing employees to explore potential roles, connect with mentors, and access tailored learning opportunities.

"At Cornerstone, we believe AI isn’t about job loss—it’s about unlocking possibilities," Suri says. "By empowering organizations and employees alike, we aim to build a workforce ready to thrive in the digital economy."

The Role of AI in Traditional Industries

AI is poised to transform traditional Indian industries such as IT, manufacturing, and healthcare. Suri sees this as an opportunity to blend human-centric skills with AI-driven efficiency, fostering a culture of continuous learning and innovation.

"In healthcare, for example, AI can support doctors in refining soft skills like empathy, while in IT, adaptive learning environments can tailor content to individual needs," he says.

The adoption of AI will democratize access to advanced technologies, enabling industries to overcome barriers to transformation. "By identifying and addressing skills shortages, organizations can unlock new growth opportunities and sustain corporate performance," Suri asserts.

The Human Element in an AI-Driven World

While AI is automating repetitive tasks and enhancing workflows, the demand for human skills—such as leadership, creativity, and emotional intelligence—remains strong.

"AI amplifies the importance of uniquely human attributes," Suri explains. "Leaders will need to inspire teams and navigate change, while healthcare workers must rely on empathy to build trust."

To prepare for this shift, workers must embrace lifelong learning, leveraging AI to enhance their creativity and communication skills. "Those who see AI as a partner rather than a competitor will thrive," Suri adds.

Cornerstone’s Vision for India

With 50% of its global workforce based in India, Cornerstone is deeply invested in the region. The company serves over 750 customers across verticals such as pharmaceuticals, banking, and media, collaborating with organizations like HDFC, Genpact, and Zee Entertainment.

"Our goal is to empower India's talent landscape through cutting-edge technology," Suri says. "Skills are now a board-level conversation in India, and our recent acquisitions, like SkyHive, present tremendous opportunities for the region."

Advice for Business Leaders

Suri’s advice to Indian business leaders and HR professionals is clear: prioritize workforce skills development to stay ahead of the curve.

"Traditional workforce planning often focuses on job-specific roles, but the future demands a skills-centric approach," he says. "Invest in platforms and partnerships that enable continuous learning and build an agile, future-ready workforce."

As India emerges as a global leader in AI and digital transformation, the country’s workforce must rise to meet the moment. With AI as both a challenge and an enabler, the future of work in India is one of unprecedented possibilities.