The rise of artificial intelligence is sparking widespread debate about the future of work. Now, a new white paper from IIT Madras is providing a sharper focus, warning that the traditional career ladder for entry-level professionals is at risk.
Beyond Job Loss: A Focus on Tasks
A new
white paper from the Indian Institute of Technology (IIT) Madras challenges the simple question of whether AI will take your job. Instead, researchers from the Centre for Responsible AI (CeRAI) argue that the real impact lies in how AI automates specific tasks within a job, rather than eliminating entire professions at once. The paper, titled 'How AI Is Reconfiguring Work in India', suggests that most jobs consist of multiple tasks, only some of which can be handled by AI. The true effect on employment depends on a variety of factors, including the cost of AI adoption, industry regulations, and how companies choose to restructure roles. The study proposes a four-level framework to analyse the changes: at the level of tasks, jobs, occupations, and the broader labour market.
The Entry-Level Career Ladder at Risk
The study places a special focus on the vulnerability of entry-level workers. Many junior roles in sectors like IT, Business Process Outsourcing (BPO), and finance have traditionally served as an apprenticeship. New graduates perform repetitive, process-oriented assignments—such as basic coding, document review, invoice processing, or handling standard customer queries—which, while low-value individually, collectively build the practical skills and professional judgment needed for senior roles. The report warns that as AI increasingly automates these foundational tasks, the primary pathway for young professionals to gain experience and advance their careers could be significantly weakened. This creates a potential 'missing middle' in the workforce, where routine junior tasks shrink even as the demand for experienced professionals remains high.
Which Sectors Are Most Exposed?
The impact of AI will not be uniform. The IIT Madras paper highlights sectors that have historically been large-scale employers of fresh graduates as being particularly exposed. The BPO industry, for example, is identified as being 'severely challenged' by AI that can handle routine customer interactions. In software engineering, AI assistants can generate routine code, leaving senior engineers to focus on architecture and complex problem-solving. Likewise, in finance and law, AI can automate bookkeeping, compliance checks, and basic document review, tasks often assigned to junior employees. The study points to a 2026 report from Cognizant and Pearson which found that 37% of entry-level tasks in India were already being performed by AI.
Redesigning Roles, Not Just Replacing Them
The study does not paint an entirely bleak picture. Instead, it suggests that the nature of entry-level work will need to evolve. One potential shift is for junior roles to be redesigned around supervising, validating, and correcting AI outputs rather than performing the tasks directly. A career path in a BPO might evolve from being a customer service agent to becoming an escalation specialist, an AI conversation designer, or a quality evaluator who improves automated workflows. However, the paper acknowledges that it is still an open question whether companies will invest in redesigning these career paths or simply hire fewer graduates. While new roles like 'AI trainer' and 'ethical AI specialist' are emerging, there is no guarantee that displaced workers will be the ones to fill them without coordinated skilling initiatives.
The Path Forward: Recommendations and Realities
The IIT Madras researchers conclude by urging a more nuanced approach to AI adoption. They recommend promoting access to affordable, task-specific AI tools, especially for small and medium enterprises, to ensure the benefits are widely distributed. Crucially, they call for more India-specific labour market research to understand exactly which skills are being automated versus augmented. They also advocate for creating structured transition pathways for workers, including clear reskilling programs linked to realistic new roles. The message is clear: preparing for an AIndriven workplace is not about predicting which jobs will vanish, but about understanding how they will change and proactively building the skills and systems needed to adapt.
















