How automation will affect the job market in India

• Recently the International Labour Organization (ILO) released a report titled “Changing Business and Opportunities for Employer and Business Organizations” which dwells on automation and employability.

Findings

• The report lists the percentage of work activities that can be automated using current technology.

• Over 40% of activities can be automated across the world.

• In the case of India, 51.8% of activities can be automated. Robotic automation is having the greatest impact, replacing low-skilled jobs and simple assembly tasks.

• Automation will likely impact most jobs involving highly structured physical activity in predictable environments, such as manufacturing and retail, alongside data collection and processing.

• Automation threatens to impact women more than men. This is primarily because automation threatens sectors like retail, business processing outsourcing and textiles/clothing/footwear. where women form a major part of the workforce.

• The report suggests that 66% of Indian businesses are looking for quite a different set of skills among new recruits than they did three years ago. Even in the United States of America (61%), Brazil (70%) and Germany (65%) businesses are looking for quite different skills in new recruits

• India has an unemployment crisis. Over and above that, India also has an employability crisis.

• Even when firms have jobs on offer, they are unable to find candidates with the right skills who can take on these jobs.

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Mains Paper 3: Economy

Prelims level: International Labour Organization

Mains level: Employment issues

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