Drawing on extensive secondary research and a primary survey of 345 stakeholders across 15 states—including employees, students, founders, HR leaders and policymakers—the report finds that AI is augmenting work faster than it is replacing jobs. Employees are increasingly using AI to support routine tasks, while organisations largely view AI as a tool to automate activities within existing roles rather than reduce the workforce. The findings reinforce that AI is changing how work is performed, with greater emphasis on collaboration between people and technology.
The report also highlights the emergence of a growing divide between AI-enabled and non-AI-enabled talent. Employees recognise that AI skills are becoming increasingly important for career growth, while employers believe that individuals who can effectively work with AI are better positioned to drive productivity and create value. The findings suggest that AI literacy is rapidly becoming a foundational workplace capability rather than a specialist skill.
At the same time, the report points to a widening gap between industry expectations and workforce preparedness. While organisations are increasingly seeking AI and digital capabilities, students and employees continue to have limited access to formal AI education and structured workplace training. Without stronger collaboration between industry, academia and policymakers, the report warns that the skills gap could become a major constraint to India's AI ambitions.
Commenting on the findings, Charu Malhotra, Managing Director & Co-Founder, Primus Partners, said, “The AI question is deeper than job displacement: can India move fast enough to create new roles, new capabilities, new opportunities? Talent is economic and competitive advantage only if it’s industry ready - academia must be agile in preparing talent for not just today’s roles but also shape roles of tomorrow. To do this industry and academia must jointly evolve India’s playbook to compete in a shifting global economic balance.”
Beyond the survey findings, the report identifies three structural shifts that will define the future of work. Human value is moving from execution to judgment, with greater emphasis on creativity, critical thinking and decision-making. Competitive advantage is shifting from access to AI tools to the ability to use them effectively, while career progression will increasingly depend on adaptability and continuous learning rather than traditional linear growth.
The report concludes that India possesses many of the ingredients needed to emerge as a global AI leader, including a young workforce, expanding digital infrastructure and a growing AI ecosystem. However, sustaining this advantage will require moving beyond technology adoption towards building broad-based AI capabilities across the workforce. It recommends a coordinated national approach centred on AI literacy, continuous workforce development, curriculum modernisation and responsible AI governance to ensure that AI-driven productivity translates into inclusive economic growth and long-term workforce resilience. Ultimately, the report argues that India's AI advantage will depend not only on how quickly it adopts AI, but on how effectively it prepares its people to work alongside it.
