Retraining and redeployment will be essential to help some 40-45 million workers, whose jobs could be displaced or transformed by the digital revolution, the report says.
There have been many reports which suggest that emerging technologies, such as artificial intelligence (AI), would kill millions of jobs globally in the future.
Yes, advent of digital technologies will have an impact on jobs, but there is no need to worry about because digital economy has the potential to create millions of new jobs as well, revealed a new report from McKinsey Global Institute (MGI).
According to the report titled ‘Digital India: Technology to Transform a Connected Nation’, digital technologies can displace or transform up to 45 million jobs by 2025. However, productivity gains through digital technologies will help create up to 65 million new jobs during the same timeframe, it said.
The report also noted that retraining and redeployment will be essential to help some 40-45 million workers, whose jobs could be displaced or transformed by the digital revolution.
To prepare this report, McKinsey Global Institute surveyed over 600 companies across all sectors.
Core digital sectors to see double GDP growth by 2025
According to the report, core digital sectors like IT/software and business process management, digital communication and electronics manufacturing could double their GDP contributions to up to US$ 435 billion by 2025.
Newly digitising sectors such as financial services, agriculture, education, logistics and retail are set to grow exponentially, the report added.
In order to enable India to achieve its digital potential, the report noted that all stakeholders will need to respond effectively.
Companies will have to invest in building capabilities, including through partnering with universities, while governments need to invest in digital infrastructure and public data that can be used by organisations, it stated.