OpenAI-Backed ICRIER Study: AI Transforming Roles and Boosting Productivity in India’s IT Sector, Rather Than Causing Mass Job Losses

A new study by the Indian Council for Research on International Economic Relations (ICRIER), supported by OpenAI, reveals that artificial intelligence (AI) is reshaping—not displacing—jobs in India’s IT sector. Titled “AI and Jobs: This Time Is No Different,” the research surveyed 650 IT companies across 10 cities between November 2025 and January 2026. It highlights that AI is enhancing productivity, transforming employee roles, and adjusting work organization. Contrary to fears of mass unemployment, roles, especially in software development and database administration, continue to see rising demand. With only 4% of firms training more than half their workforce in AI, there’s significant potential for workforce upskilling. Industry experts suggest that AI complements human talent, underscoring the necessity for companies to prepare their employees for evolving job requirements. Overall, the study offers a data-driven perspective on AI’s impact, encouraging policymakers to support adaptive strategies in India’s IT landscape.

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