The Making of a New-Age Workforce from India’s Margins
India presents a unique and intriguing case study in the global economic landscape. On one hand, it is projected to become the fastest-growing economy in the world in 2022, according to the International Monetary Fund (IMF). With the largest young workforce globally, India holds a significant advantage in terms of human capital. However, despite this promising demographic advantage, the country has not fully leveraged its “demographic dividend.” The economy has struggled to capitalize on the potential of its young population, and this underutilization poses a challenge to realizing long-term economic growth.
As the world rapidly approaches the Fourth Industrial Revolution, marked by advances in automation, artificial intelligence, and digital transformation, India cannot afford to fall behind. This technological shift is poised to reshape industries and redefine global economic dynamics. With its youthful and increasingly tech-savvy workforce, India is well-positioned to take a leadership role in this revolution, provided it takes the necessary steps to upskill and equip its workforce for the jobs of the future.
Meanwhile, many Western economies are grappling with the challenges of an aging population, which is putting significant strain on their labor markets and economic growth prospects. In contrast, India’s young population represents a strategic advantage. If harnessed effectively, this demographic could propel India to the forefront of the global economy, enabling it to not only capitalize on emerging technologies but also to become a key player in the digital and innovation-driven economy of the future. The challenge lies in ensuring that this potential is fully realized through investments in education, skill development, and infrastructure to support this growing workforce.
Contrary to common belief, the creation of employment opportunities should not be limited to the formal sector but should also include the vast informal sector. Interestingly, India’s gradual digital transformation, though slow, has opened up avenues for an emerging aspirational class from the country’s rural areas and marginalized communities to earn a living. As manufacturing increasingly shifts towards automation, the services sector is becoming the primary attraction for job seekers, drawing in a growing number of aspirants. Furthermore, the flexibility offered by the services sector, particularly within the gig economy, makes it an ideal space to absorb India’s young workforce, providing them with a wide range of employment opportunities suited to their diverse skills and aspirations.
Harnessing the Internet to Create Job Opportunities
In recent years, the widespread reach of television, OTT platforms, and the internet has been striking, bringing the consumerist lifestyles of Western societies to those living on the margins. This has fostered the growth of an aspirational class, one that dares to dream beyond the constraints of poverty and hardship. The democratization of information, driven by the internet and the mobile revolution in India, has given rise to a new-age workforce from the country’s marginalized communities. From Uber drivers and call center workers to food and grocery delivery personnel, many are now earning a living by tapping into services based on internet-driven apps. While critics highlight the shortcomings of the gig economy, such as job insecurity and the absence of regulation, the fact that individuals from disadvantaged backgrounds have seized these opportunities is a noteworthy achievement.
The Importance of Skill Development
As the world becomes increasingly digital, and the economy accelerates for those embracing the digital wave, people from the informal sector must acquire new skills. The pandemic has severely impacted the economy, leaving many, particularly from contact-based industries, without jobs. In contrast, the digital economy has remained largely unaffected and even experienced unprecedented growth. With emerging technologies and digital platforms reshaping job profiles, job seekers from India’s marginalized communities must adapt to this changing landscape.
The need of the hour is to prioritize digital literacy, transforming the large workforce from these communities into digitally agile and adaptable individuals. The aspirational class within marginalized groups must be trained in digital technologies through skill development programs, such as those run by Anudip, a well-regarded non-profit organization established in 2007.
Only with digital literacy can this workforce tap into the opportunities offered by the gig economy, securing decent livelihoods. The success of app-driven cab or bike drivers, delivery personnel, micro-entrepreneurs, and workers in sectors like hospitality, travel, tourism, and logistics, all stand as evidence of the new-age jobs created by the digital economy.
Conclusion
The quiet transformation of India’s workforce, with job seekers from marginalized communities powering the gig economy, has become increasingly evident. It is essential that more individuals undergo skill development training to equip them for the competitive, digitization-driven world ahead.
