Almost one-third of 'low-skilled' jobs, about 7 lakh, will be lost on account of automation in Indian IT by 2022 says US-based research firm HfS Research.
However, the report also predicts the number of 'medium-skilled' and 'high-skilled' jobs to go up by 1 lakh and 1.9 lakh, respectively. Worldwide, HfS Research said that by 2022, the IT industry would see a net decrease of 7.5% in headcount with countries like the US, UK and India taking a hit.
The report shows a marginal uptake of IT jobs in Philippines.
The research firm cites the aggressive uptake of RPA (Robotic Process Automation) and AI as the primary reasons for the reduction in headcount. It adds that RPA is merely accelerating the elimination of rote jobs while increasing the need of high-skilled jobs by 57%.
While “companies are taking time to build the impact of RPA into service contracts ... Time is on our side to manage the transition and train staff for the future,“ the report said.“The next fives years we can manage, it's the five after that when the impact on labor becomes much more challenging.“
The firm has increased the predicted low-skilled job loss numbers from 6.4 lakh at the end of 2021 in a report published last year to 7 lakhs by 2022 in the latest report. In this scenario, the report predicts that 20% of the total workforce needs to be re-skilled to be employable.
Courtesy :CIO.ECONOMICTIMES.INDIATIMES
However, the report also predicts the number of 'medium-skilled' and 'high-skilled' jobs to go up by 1 lakh and 1.9 lakh, respectively. Worldwide, HfS Research said that by 2022, the IT industry would see a net decrease of 7.5% in headcount with countries like the US, UK and India taking a hit.
The report shows a marginal uptake of IT jobs in Philippines.
The research firm cites the aggressive uptake of RPA (Robotic Process Automation) and AI as the primary reasons for the reduction in headcount. It adds that RPA is merely accelerating the elimination of rote jobs while increasing the need of high-skilled jobs by 57%.
While “companies are taking time to build the impact of RPA into service contracts ... Time is on our side to manage the transition and train staff for the future,“ the report said.“The next fives years we can manage, it's the five after that when the impact on labor becomes much more challenging.“
The firm has increased the predicted low-skilled job loss numbers from 6.4 lakh at the end of 2021 in a report published last year to 7 lakhs by 2022 in the latest report. In this scenario, the report predicts that 20% of the total workforce needs to be re-skilled to be employable.
Courtesy :CIO.ECONOMICTIMES.INDIATIMES
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