Technological Disruption: Driving The Future Of Work In India
India has conventionally been a labour-intensive economy with a significant or majority share of the markets dominated by informal or unregulated businesses in most industries. The non-standardized work conditions and focus on steps to ensure social security and protections for the employees lead to a lower output. This is where the pandemic-induced digitization has brought about a major transformation in the way businesses run processes across different functions such as production, office management, sales, and marketing as well as tech, etc. It has for long been believed that digitization causes job losses as machines replace humans. However, this belief is unrelated to the ground reality because technology in the digital arena has been responsible for millions of new jobs as well as areas of employment every year. The technology-driven sectors have been driving employment faster than ever.
When computers entered offices all over the world, typists were the first to be hit. However, automation mostly changes the way people work and by upgrading their skills or acquiring new ones, people can become more employable than they were earlier. This is exactly what technology is doing today. In India, the overall number of employed people in September 2021 was 406.2 million which is nominally below the 406.7 million recorded in September 2019. Thus, despite the pandemic forcing millions of casual and part-time workers out of their jobs, technology has been a key factor in employment generation. With global businesses resuming steadily, and a growing preference among corporates for skilled independent professionals who can help them fulfill the requirement generated by innovative technologies.
Hiring freelancers who are digitally capable has become a rising trend, and a recent survey found that nearly 19% of Indian companies have hired them in the last year. The need to build new products and services, innovate and develop alternate working opportunities can be fulfilled by flexible employment processes. Even among job seekers, there is a growing acceptance of unconventional jobs such as project-based employment. With the likelihood of the gig economy being covered by employee benefits in the coming times, innovation is going to be a major driver for the tech sector jobs.
As per data, Indian women contribute nearly 17% of the GDP and that’s less than half of the global average of 35% to 40% for the developed nations. It is caused directly by the fact that only 27% of Indian women are a part of the workforce compared to the global average of 50%. A key driver to ensuring equal employment for women is going to be through technology-driven roles. By getting access to education and skills in sectors like IT, software, or other tech-driven roles, Indian women can contribute at par with the men. Achieving that parity itself can enhance Indian GDP by 27%.
A key attribute of tech ventures post mergers and acquisitions (M&As) in technology companies is the integration of the workforce.
One of the most visible and rapidly growing examples of technology-driven employment generation is in the e-commerce sector. Millions of people have been directly and indirectly employed by online
retailers, marketplaces, and aggregators in retail, food, healthcare, transportation, education, etc. Similarly, the surge in the digitization of almost every aspect of life is leading to the creation of an increase in employment opportunities in areas such as software development, robotics, digital analytics, AI, data analysis, and tech support arenas.
This is a very opportune moment for the Indian economy, and the need of the hour is to identify changing trends and operating conditions. Companies, as well as the authorities, are now focusing on developing infrastructure, expansion of tech research and development facilities, training and skill development centres and innovation hubs need to be invested into. Through a concerted effort by the industry and the other stakeholders, it is possible to encash India’s gains as an IT power into building a future-ready business ecosystem. Through tech-based jobs, it is possible to ensure employee wellness, security, career growth, and ensure social inclusivity across genders, communities, and regions.
The development of a collaborative and inclusive ecosystem will help India harness the rich dividends of its incredible human capital. The opportunities are immense and technology is going to open the door for them!
(The given article is attributed to Rituparna Mandal, GM, MediaTek India and has been exclusively created for BW People website)
