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AI can teach faster, but can it help India work better? With over half of graduates underemployed, the real challenge is to use AI not for classrooms, but for careers.
AI’s real power lies beyond classrooms, in bridging India’s skill gap and creating jobs.
By Anil Nagar
AI can solve maths equations in milliseconds. But if it cannot solve India’s livelihood crisis, where over half of our graduates are underemployed, are we aiming at the wrong problem?
Most conversations about AI in education today revolve around lesson planning, grading, or tutoring. These are useful, but they fail to address India’s deeper crisis: employability. Passing exams is no longer the real hurdle. The true struggle begins after graduation, when millions of young people find themselves unable to secure jobs that value their degrees.
Confidence vs Capability: A Dangerous Gap
This reality plays out in everyday stories. In Bihar, a B.Sc. graduate once told me, “No companies come for placements here.” Months later, he was working in a local store for Rs 8,000 to Rs 9,000 a month. His problem wasn’t a lack of effort, it was the absence of pathways. Sadly, he represents millions.
Over 80% of engineers are unemployable for knowledge economy roles (Aspiring Minds, 2019), with only 3–4% possessing the right mix of cognitive and technical skills. Classroom AI may make them better at solving equations, but what they truly need is AI that coaches them for interviews, teaches workplace etiquette, and builds confidence for the job market.
Where AI Can Truly Make A Difference?
AI’s biggest role in India lies not inside classrooms but along the career journey beyond them. In small towns, most young people know only three or four career paths, typically doctor, engineer, government job, or local business. Imagine if AI-powered, vernacular-first guides could open up hundreds of new career options these students have never even heard of. That’s when AI becomes aspirational, not merely instructional.
Beyond awareness, AI can map industry demand with student profiles to suggest modular skilling pathways. Most importantly, it can bridge the talent–employer mismatch. NASSCOM (2024) notes that 70% of Indian SMEs struggle to hire skilled workers, even as millions of graduates remain unemployed. Smarter job-matching engines could connect these dots, particularly in Tier-II and Tier-III economies. In these towns, students don’t need AI to explain the syllabus. They need AI to explain the job market.
The Blind Spots Holding Us Back
One major blind spot is design bias. Most AI tools are built for metro-based, English-speaking users, leaving 70% of Bharat invisible. Another is policy. The NEP 2020 rightly promotes AI literacy but stops short of using AI to tackle employability. And finally, there’s the employer disconnect. AI tools are rarely integrated with hiring systems, which means students may get trained, but not placed.
Turning Investment Into Impact
India spends billions on EdTech, yet millions remain underemployed. That’s the mismatch AI must fix. The economic stakes are massive, but the real opportunity lies in designing AI for employability, not just education.
Young people in Tier-II and Tier-III towns, the backbone of India’s workforce for the next decade, still struggle with exposure, skills, and placements. This is the paradox AI must solve: turning capital into careers, and degrees into livelihoods.
AI Isn’t the Enemy, It’s the Catalyst
Many ask, “Will AI take away our jobs?” That question misses the bigger picture. AI isn’t here to compete with us. It’s here to support us. It won’t replace human talent; it will amplify it. For young people, AI can act as a springboard, helping them move faster, aim higher, and access careers that once felt out of reach. In that sense, AI isn’t a threat to employability; it’s the tool that can close India’s skills gap and unlock opportunities at scale.
Building An AI-Powered Career Stack
The way forward is to view AI not as a classroom tool, but as a career stack that supports students at every stage of their journey.
It begins with awareness, where vernacular-first AI tools can introduce students to a much wider range of career options than the few they currently know. From there, AI can guide skill-building by recommending micro-skills aligned with real industry demand. Many first-generation graduates also need mentorship, and AI can bridge this gap by matching them with relatable professionals who understand their background and aspirations. Finally, the loop closes with placement, where predictive AI job-matching engines can directly connect graduates with SMEs and corporates seeking talent.
From AI In Classrooms To AI In Careers
AI in classrooms may help India teach better. But AI in careers will help India grow better. The real success metric is not how AI improved lessons, but how it created livelihoods.
India’s AI revolution cannot stop at classrooms. Policymakers must measure success not by marksheets, but by meaningful jobs created. Investors must look beyond EdTech 1.0 and fund solutions that turn capital into careers. And technologists must design AI that speaks the language and aspirations of Bharat.
That is where India’s AI revolution must truly begin.
(The Author is the Founder & CEO of Adda Education. Views expressed in the above piece are personal and solely those of the author. They do not necessarily reflect News18’s views.)
A team of reporters, writers and editors brings you news, analyses and information on college and school admissions, board and competitive exams, career options, topper interviews, job notifications, latest in …Read More
A team of reporters, writers and editors brings you news, analyses and information on college and school admissions, board and competitive exams, career options, topper interviews, job notifications, latest in … Read More
October 06, 2025, 14:52 IST
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