India’s white-collar workforce faces a different AI risk: World Bank report

India’s white-collar workforce is already seeing signs of disruption from generative artificial intelligence, with entry-level workers in occupations highly exposed to AI facing particular risks, according to the World Bank’s World Development Report 2026: The Promise of Artificial Intelligence.

The report says the introduction of generative AI reduced monthly job postings in India for white-collar occupations that are highly amenable to AI use and have limited complementarity with the technology. The impact was disproportionately felt by entry-level workers.

The World Bank places this development within a broader shift in the labour market. While AI can automate some tasks, it can also complement workers by increasing their capabilities. The balance between these two effects varies depending on the type of work and the extent to which AI can perform or support the tasks involved.

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Automation risk remains relatively narrow

Despite the disruption to some white-collar roles, the report does not suggest that AI is likely to eliminate a large share of jobs across developing economies in the near term.

In low- and middle-income countries, about 4.5% of existing jobs are amenable to automation by generative AI, compared with 14.2% in high-income countries. At the same time, 16.2% of jobs in low- and middle-income countries are amenable to being complemented by AI.

The report notes that occupations involving more cognitive work, including information and communication technology, finance and business services, are more exposed to AI automation. However, these sectors account for relatively few jobs in developing countries.

New AI-related jobs are also emerging

The impact of AI on employment is therefore not limited to displacement. The report says the share of online job postings mentioning AI skills has increased sharply since 2023. These postings include roles such as software developers, systems analysts and web developers.

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However, the demand remains concentrated. In the first half of 2025, the share of online job postings mentioning AI skills was more than five times higher in high-income countries than in middle-income countries.

This suggests that while AI is creating demand for new skills, access to these opportunities is uneven across economies.

Developing countries face a different AI challenge

The World Bank argues that developing countries currently face a different balance of AI risks and opportunities from high-income economies. The immediate risk of job disruption is lower, while the potential to use AI to address shortages of expertise is significant.

The report says AI could enhance workers’ capabilities rather than replace them, while also helping businesses become more productive. But the benefits depend on complementary factors such as skills, digital infrastructure and the ability of firms and workers to adapt to the technology.

For India, the report’s evidence points to a more specific labour-market challenge: AI disruption may initially be concentrated among white-collar and entry-level workers whose tasks are most exposed to automation, even as the broader economy sees opportunities for AI-enabled productivity and new employment.

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