Is AI impact on jobs overblown? AI/ML job openings rose 38% in Q1 FY26, report finds

The rise of artificial intelligence (AI) has sparked a worldwide debate about its effect on employment. While some fear mass job displacement, recent data presents a more balanced picture. In India, AI/ML job openings increased by 38% in the first quarter of FY26, suggesting that AI might be creating more opportunities than it’s eliminating.
This spike in demand challenges the narrative that AI primarily destroys jobs. Instead, it shows that AI is actively reshaping the workforce and introducing entirely new roles. Machine learning engineers, data scientists, and generative AI specialists are now in high demand across various industries.
Historically, each technological revolution has brought both disruption and opportunity. AI appears to be following the same path. Although it replaces certain repetitive tasks, it also enhances productivity and generates the need for new kinds of expertise.
However, job displacement is still a legitimate concern—especially in roles that involve routine, predictable tasks. Entry-level positions, particularly in tech and customer service, are seeing slower hiring as AI tools handle responsibilities once assigned to junior staff. Companies use automation not just to reduce costs but also to improve efficiency.
That doesn’t mean the end of employment. What we’re seeing is a transition, not an elimination. The labor market is shifting toward high-skill, AI-integrated roles. Professionals who adapt to this shift by learning relevant digital skills are likely to find themselves in strong demand.
In fact, AI is also acting as a productivity partner. In many sectors, it allows human workers to focus on strategic, creative, or interpersonal tasks while automating the mechanical ones. Journalists use AI to transcribe and summarize. Doctors receive AI assistance in scanning reports or predicting treatment outcomes. Retailers rely on AI for inventory management and customer insights.
This transformation gives rise to the concept of the “augmented worker”—someone whose role is enhanced, not threatened, by technology. It’s not about man versus machine but man plus machine.
India stands out in this global AI evolution. The country’s strong tech ecosystem, backed by a growing talent pool, is driving aggressive hiring in AI/ML roles. With significant investments from both public and private sectors, India is positioning itself as a major player in the global AI economy. The 38% jump in job openings is not a one-time event—it reflects long-term structural changes.
But there’s still a major hurdle: the skills gap. Many displaced workers do not yet possess the capabilities needed for emerging AI roles. To overcome this, India must expand upskilling and reskilling programs. Educational institutions and businesses need to collaborate to offer training in AI ethics, programming, data analysis, and critical thinking.
Several initiatives, such as the National AI Mission, are already promoting AI education. However, more coordinated, large-scale efforts are required to keep pace with the speed of change.
So, is the fear of AI exaggerated? The evidence says yes—at least partly. While AI is transforming jobs and displacing some, it is also creating significant new opportunities. The key lies in how individuals, organizations, and governments respond to these changes.
AI’s impact isn’t about wiping out jobs but redefining them. Workers who embrace this shift, acquire relevant skills, and learn to work alongside AI will find new career paths opening up. On the other hand, resisting change could mean falling behind.
Rather than fearing AI, we should focus on how to guide its growth in a direction that benefits everyone. Responsible adoption, ethical development, and proactive workforce planning can ensure that this powerful technology enhances human potential.
Final Thought:
AI is not a job killer—it’s a job shaper. And the sooner we understand and prepare for this shift, the more inclusive and innovative our future workforce will become.