Project Report

(Submitted for the degree of B. com. Honours in Accounting & Finance under the
University of Calcutta)

Title of the Project

Impact of AI on employment generation in E-commerce Sector

Submitted by

Name of the Student: Sourav Guha

University Registration No: 314-1111-0459-22

University Roll No: 221314-21-0110

Name of the College: Sir Gurudas Mahavidyalaya

Supervised by

Name of the Supervisor: Prof. Subhamita Ram

Month of Submission

July 2025
 Annexure – IA

Supervisor's Certificate

This is to certify that Mr. Sourav Guha a student of B. Com. Honours in Accounting &
Finance of Sir Gurudas Mahavidyalaya under the University of Calcutta has worked
under my supervision and guidance for his Project Work and prepared a Project Report
with the title Impact of AI on employment generation in E- commerce Sector which
he is submitting, is his genuine and original work to the best of my knowledge.

Signature of the supervisor

Department of Commerce
Sir Gurudas Mahavidyalaya

Place: Kolkata

Date:
 Annexure- IB

Student's Declaration

I hereby declare that the Project Work with the title IMPACT OF AI ON
EMPLOYMENT GENERATION IN E-COMMERCE SECTOR submitted by
me for the partial fulfilment of the degree of [Link]. Honours in Accounting & Finance
in Business under the University of Calcutta is my original work and has not been
submitted earlier to any other University/Institution for the fulfilment of the
requirement for any course of study.

I also declare that no chapter of this manuscript in whole or part has been incorporated
in this report from any earlier work done by others or by me. However, extracts of any
literature which has been used for this report has been duly acknowledged providing
details of such literature in the references.

Signature:

Name: Sourav Guha

Address: Khardah

Registration No.: 314-1111-0459-22

Place: Khardah

Date:
 ACKNOWLEDGEMENT

The successful completion of this project would not have possible without the
guidance, support, and encouragement of many individuals, and I am truly grateful to
all of them.

First and foremost, I would like to express my sincere gratitude to Sir Guru Das
Mahavidyalaya for providing me with the opportunity to pursue my Bachelor’s degree
in such a supportive academic environment.

I am especially thankful to Prof. Subhamita Ram, my supervisor, for granting me the

opportunity to undertake this project titled “Impact of AI on employment generation
in E-commerce Sector”.

Despite her busy schedule, she generously provided her time, insightful feedback, and
consistent guidance, for which I am truly grateful. Her encouragement and flexibility
helped me learn and grow throughout the project.

I would also like to thank my parents and friends for their constant support and
motivation throughout the course of this work. Their encouragement played a vital role
in helping me complete this project successfully.

Sourav Guha

6th Semester [Link] (Honours)

 Table of Content
Sl. Page No.
No.
1 Introduction – 1-4
(a) Background of the study topic
(b) Justification of the study topic
(c) Brief Review of literature
(d) Objectives of the study topic
(e) Methodology:
(f) Limitation of the Study
(g) Chapter planning
2 Conceptual Framework / National Scenario and International 4-8
Scenario –
(a) Conceptual Framework
(b) National Scenario of the study topic
(c) International Scenario
3 Presentation of data, Analysis and Findings – 9-17
(a) Objective wise data analysis with diagrams,
(b) Findings with reference to objectives
4 Conclusion and Recommendations – 18-20
(a) Analysis wise Conclusion
(b) Objective wise Recommendations / Suggestions
5 Bibliography 21
1. Introduction

AI or Artificial Intelligence refers to the simulation of human intelligence in machines

that are programmed to think, learn, and solve problems like a human would. There are
different types of AI: Narrow AI designed for a specific task. General AI, a theoretical
form that can understand and learn any intellectual task a human can. Superintelligent
AI is a hypothetical future AI that surpasses human intelligence in all aspects. At its
core, AI uses data, algorithms, and computing power to recognize patterns, make
decisions, and sometimes even improve itself over time.
E-commerce refers to the buying and selling of goods and services over the internet. It
includes all types of commercial transactions conducted online such as: Online
shopping, online services, online marketplace, mobile commerce, business-to-business
(B2B) transactions.
Basically any time money changes hands for a product or service via the internet, its
considered e-commerce. E-commerce plays a big role in generating employment both
directly and indirectly. Here's how: Direct Employment: These are jobs created within
e-commerce companies themselves: Warehouse and logistics: Packing, shipping,
inventory management, delivery drivers; IT and tech roles: Website and app
developers, cybersecurity expert, data analysts; Customer support: Call centers, chat
support, email handling; Digital marketing: SEO specialists, content creators, social
media managers; Business operations: HR, finance, product management, sales.
Indirect Employment: Jobs created through related industries and services:
Manufacturing and packaging: More demand means more production jobs; Courier and
delivery services: Companies like FedEx, DHL, and local delivery networks grow;
Freelancers and small business: Sellers on platforms like Amazon, Flipkart, and Etsy
etc; Support services: Photography, content writing, influencers, and digital ad
agencies. Rural and Remote Job Opportunities: E-commerce has enable people in small
towns or villages to starts their own businesses online and work remotely for
companies across the country or world.
Employment generation in the e-commerce sector is important for several key reasons:
Economic Growth: E-commerce boosts economic activity by creating direct and
indirect jobs in technology, logistics, marketing, customer service, and more; Youth

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Employment: It offers opportunities for young people, especially those with digital
skills, reducing unemployment among educated youth; Inclusivity: The sector enables
work-from-home or remote job options, supporting employment for women, people
with disabilities, and those in rural or less-developed areas; Skill Development: It
encourages the development of digital and entrepreneurial skills, which are crucial for
the modern economy; Support for MSMEs: E-commerce platforms help small and
medium businesses reach wider markets, indirectly generating employment through
increased demand; Innovation and Startups: The sector fosters a startup ecosystem,
creating new roles and businesses that further expand job opportunities.

A) Background of the study topic

AI, as a field of study and a technology, emerged from a combination of philosophical

inquiries and practical advancements in computing. Key figures like Alan Turing and
John McCarthy laid the theoretical groundwork and coined the term “artificial
intelligence”. The first AI workshop at Dartmouth in 1956 is widely considered the
birth of AI as a field, with the goal of exploring how machines could simulate human
intelligence.

Key Milestones and Developments:

1950s: Alan Turing’s “Computer Machinery and Intelligence” introduced the Turing
Test, a way to assess machine intelligence. 1950s: John McCarthy proposed the
Dartmouth Summer Research Project on Artificial Intelligence, which is considered the
official birth of AI as a field. 1956s: The Dartmouth workshop formalized the field,
with McCarthy coining the term “artificial intelligence”. 1960s: Early AI research

2
focused on rule-based systems, and the programming language LISP was developed.
1970s and 1980s: The development of expert systems and increased funding boosted
AI research. 1990s: Advances in computing power and data availability enabled
machine learning and laid the groundwork for modern AI. Recent Years: Deep
learning and neural networks have revolutionized AI, leading to advancement in areas
like image recognition, speech recognition, and natural language processing.

B) Justification of the Study Topic:

The e-commerce sector is a major employment generator in India and globally. With
the integration of AI, some jobs may become redundant, while new job roles may
emerge. Hence, studying the impact of AI on employment generation in e-commerce
is crucial for workforce planning, skill development, and policy-making.

C) Brief Review of Literature:

• McKinsey Global Institute (2020): Predicted that AI would displace 15% of the
global workforce by 2030, but also create new opportunities in tech and data
analytics.

• Nasscom (2022): Reported that AI integration in Indian e-commerce has led to both
automation and increased demand for AI specialists, data scientists, and digital
marketers.

• PwC (2021): Found that countries adopting AI early see productivity gains but face
skill mismatches.

D) Objectives of the Study Topic:

1. To assess the effect of AI on job reduction and creation in the e-commerce sector.

2. To understand the types of new job roles emerging due to AI.

3. To evaluate the preparedness of the workforce for AI-related changes.

4. To recommend strategies for sustainable employment in AI-driven e-commerce.

E) Methodology

This study adopts a descriptive research methodology utilizing secondary data to

analyze the impact of AI on employment generation in the e-commerce sector.
Relevant data is collected from industry reports, academic journals, government
publications, and reputable online databases. The research focuses on identifying trends
in job creation and displacement caused by AI technologies such as automation,
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 chatbots, recommendation systems, and data analytics tools. Comparative analysis is
conducted between pre- and post-AI adoption periods in selected e-commerce
companies to evaluate employment patterns. The data is analyzed using graphical
representation and trend analysis to draw meaningful insights about the evolving nature
of employment in the sector due to AI integration.
(i) Area of the Study:
E-commerce companies operating in India (Flipkart, Amazon India, Meesho, etc.)
(ii) Type of Study:
Descriptive and analytical
(iii) Type of data: Secondary data is used based on research articles, websites given in
the bibliography
(iv) Method of Analysis: Quantitative data analysis using MS Excel; qualitative
analysis using thematic coding

F) Limitations of the Study:

• Limited sample size may not represent all sub-sectors of e-commerce
• Rapid AI evolution may render findings less durable over time
• Limited access to internal employment data of companies

G) Chapter Planning:
1. Introduction
2. Conceptual Framework / National & International Scenario
3. Data Presentation, Analysis, and Findings
4. Conclusion and Recommendations
2. Conceptual Framework / National and International Scenario
(a) Conceptual Framework:
• AI in E-commerce: Refers to the use of technologies like chatbots,
recommendation engines, predictive analytics, and robotic process automation
(RPA).
• Employment Generation: Includes direct employment (delivery, customer
support) and indirect employment (IT support, logistics, warehousing).
• Displacement vs Creation: AI may replace repetitive jobs but create high-skill
tech jobs, requiring reskilling.
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(b) National Scenario:
India’s e-commerce sector is projected to reach $200 billion by 2026. AI is being used
extensively by Indian companies for customer support (chatbots), supply chain
optimization, and fraud detection. While warehouse automation is reducing manual labor,
there's growing demand for tech-driven job roles.
(c) International Scenario:
In the US, companies like Amazon use AI in logistics (drones, robots) and HR analytics.
China’s Alibaba employs AI for smart warehousing and personalized marketing. Globally,
AI adoption is accompanied by major investment in AI-skilling initiatives to offset job
losses.
National theoretical background (India)
Economic Contribution: India’s AI potential: According to Nasscom and EY, AI could
add $500 billion to India’s GDP by 2025. Sectors like agriculture, healthcare, education
and manufacturing stand to benefit significantly.

Government Initiatives: National AI Strategy: NITI Aayog’s #AIforAll aims to leverage

AI for inclusive growth. Digital India: AI is part of broader digital initiatives to improve
governance, service delivery and citizen engagement.

Sectoral Impact: Agriculture: AI-driven crop monitoring, yield prediction and precision
farming can help millions of farmers. Healthcare: AI supports affordable diagnostics,
telemedicine and hospital workflow optimization. Education: Personalized learning
platforms and content delivery through regional languages using NLP. Smart cities: AI
enables better traffic management, waste management and public safety.
Startups and Talent: India is the 3rd largest AI startup ecosystem. India is the home to a
large pool of AI and IT talent, especially in Bengaluru, Hyderabad and Pune.
Challenges: Skilling gap: A large portion of the workforce lacks the training to work with
AI tools. Digital divide: Rural and underdeveloped areas lag in AI adoption. Ethical
concerns: Data privacy, surveillance and job losses are key issues.
International theoretical background
Economic Growth & Productivity: Boost to GDP: According to PwC, AI could
contribute up to $15.7 trillion to the global economy by 2030. Increased productivity:

5
Automation of repetitive tasks and smarter decision-making enhance productivity in
sectors like manufacturing, logistics, healthcare and finance.

Job Market Transformation: Job displacement: Routine and low-skill jobs are
increasingly automated. New job creation: AI is also creating roles in data science, AI
engineering, robotics, ethics and maintenance. Reskilling imperative: There’s a growing
need for workforce upskilling and digital literacy.
Industry Transformation: Healthcare: AI enables predictive diagnostics, personalized
medicine, and efficient drug discovery. Finance: Fraud detection, algorithmic trading and
customer service chatbots are widely adopted. Retail: Personalized recommendations and
inventory optimization. Manufacturing: Predictive maintenance and smart automation.
Global Power Dynamics: Countries leading in AI (like the US, China and the EU) are
gaining strategic advantages. AI is a key factor in geopolitical and economic influence,
especially in defense and cyber technologies. AI has a wide range of applications and
implications. Here are the positive and negative sides of AI:
Positive Sides of AI: Increased Efficiency and Automation: AI can handle repetitive
tasks with speed and accuracy, reducing human error and freeing up time for more
complex work (e.g. manufacturing, data entry). 24/7 Availability: Unlike humans, AI
systems can work continuously without fatigue, making them ideal for customer service
bots, monitoring systems, and emergency response. Data Analysis and Decisions
Support: AI can process large volumes of data quickly, uncovering patterns and insights
that help in decision-making in fields like healthcare, finance’ and logistics. Advancement
in Healthcare: AI is used in diagnostics (e.g. detecting cancers in medical scans), drug
discovery, personalized medicine, and robotic surgery, often improving outcomes and
reducing costs. Improve Safety in Dangerous Jobs: AI- powered robots and systems can
perform tasks in hazardous environment (e.g. mining, deep-sea exploration, bomb
disposal) reducing human risk. Enhanced Personalization: From recommendation
algorithms on Netflix and Spotify to personalized ads and e-learning platforms, AI tailors
experiences to individual preferences. Scientific Discovery and Research: AI accelerates
research by helping model complex phenomena, analyze experimental data and simulate
scenarios in physics, chemistry and biology.

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Negative sides of AI: Job Displacement: Automation may lead to loss of jobs in sectors
like manufacturing, customer service and even white-collar professions, increasing
unemployment and economic inequality. Bias and Discrimination: AI can perpetuate or
even amplify existing biases if trained on biased data (e.g. in hiring tools, law enforcement,
credit scoring). Privacy Concerns: AI systems often rely on large amounts of personal
data, raising concerns about surveillance, data breaches, and consent. Lack of
Transparency: Many AI systems, especially deep learning models, make decisions that
are difficult for humans to interpret understand, complicating accountability. Dependence
and Skill Degradation: Overreliance on AI may lead to reduced human skills and critical
thinking, especially if people defer too much to automated systems. Weaponization and
Ethical Concerns: AI is being developed for use in autonomous weapons and
surveillance, raising fears about its misuse in warfare or authoritarian control.
Misinformation and Deepfakes: AI can generate convincing fake content (text, audio,
and video) which can be used to spread misinformation, manipulate public opinion or
commit fraud.
The impact of AI on both the Indian economy and the global economy is substantial and
accelerating. Here’s an overview of how AI is influencing these economies, divided into
key sectors and trends.

Table 1: Future Outlook

Area Global Impact Indian Impact

Economic Growth +$15.7 trillion by 2030 +$500 billion by 2025
Job market Reskilling and new job Focus on skilling and job
roles creation
Strategic Importance Competitive edge for India positioning as a
leading nations global AI talent hub
innovation AI driving research & new Rise in AI-based startups
tech and public-private projects
Source: [Link]

Here are several key threats of AI, categorized for clarity:

Ethical and Social Threats: Bias and Discrimination: AI systems can reflect or
amplify biases present in training data, leading to unfair outcomes (e.g. in hiring, law

7
enforcement, lending). Privacy Invasion: AI used in surveillance or data analysis can
erode privacy through mass data collection and behavior prediction. Deepfakes and
Misinformation: Generative AI can create realistic fake content, contributing to
misinformation, fraud and manipulation. Job Displacement: Automation of tasks across
industries can lead to large-scale unemployment or underemployment, especially in
repetitive or routine jobs.

Security and Safety Threats: Weaponization: AI can be used in autonomous weapons,

cyberattacks, or surveillance by malicious actors or states. Adversarial Attacks: AI
models, especially in vision and NLP, can be tricked by small, deliberate changes in
input (e.g. fooling a self-driving car). Loss of Control: Advance AI systems might
behave unpredictably, especially in high-stakes environments (e.g. finance, military,
nuclear systems).

Economic and Political Threats: Monopoly Power: A few companies or nations

controlling powerful AI systems can dominate markets and set global norms. AI Arms
Race: Global competition in AI (especially military and surveillance) may reduce
incentives for safety and collaboration. Manipulation of Public Opinion: AI-driven bots
or content generators can influence elections, policy debates, or social movements.

Long-Term Existential Risks: Misaligned Superintelligence: A highly advanced AI

might pursue goals misaligned with human values, potentially leading to catastrophic
outcomes. Runaway Optimization: An AI optimizing for a poorly defined goal could
cause unintended harm (e.g. destroying the environment to achieve a trivial objective).

8
 3. Presentation of Data, Analysis and Findings

Companies using AI Stats: 78% of global companies currently use AI. 82% of global
companies are either using AI or exploring the use of AI in their organization. India has
the highest rate of AI adoption (around 59% of companies). The global AI market is
expected to reach $1.85 trillion by 2030. Larger enterprise companies are more likely to
use AI than smaller business.

Figure 1: What Percentage of Companies Use AI in 2025

78% of all global companies use AI in

their business

22% Global companies use AI in

their business
Global companies did not use
AI in their business

78%

Source: [Link]

According to the latest data, 78% of global companies report using AI in their business.
Notably, 71% of companies have reported using generative AI in at least one business
function within their organizations. On top of that, 92% of companies plan to increase
their investment in AI over the next three years. Over 90% of companies are either
using AI or exploring the use of AI. There are 333.34 million companies worldwide,
meaning over 300 million companies are using or exploring AI in their business
operations. In 2017, only 20% of companies incorporated AI into their product
offerings and business operations. But 72% of those businesses believed AI would
have an impact on their business within 5 years.

Here is the closer look at, according to a McKinsey & Company survey.

9
Table 2: The percentage of companies using AI in at least one business function
since 2017

Year Percentage of Companies

2017 20%
2018 47%
2019 58%
2020 50%
2021 56%
2022 50%
2023 55%
2024 72%
2025 78%

Source:[Link]

Figure 2: Companies using AI in at least one business function

Companies using AI in at least one business function

100%

80%
Percentage of Companies

60%

40%

20%

0%
2017 2018 2019 2020 2021 2022 2023 2024 2025

Source: [Link]

Over the last five years, AI usage has flattened out and stabilized after rapid growth
from 2017 to 2018. However, adoption rapidly increased from 2022 to 2025. 688 new
AI startups were launched in Q1 2022. In Q1 2023, only 269 AI startups were
launched. That’s a 69% decrease year over year. However, there was a 300% increase
in small, bootstrapped AI products launched in Q1 of 2023. Another number expected
to grow is the total number of jobs in AI industry. In 2023, 83% of AI startups had

10
fewer than 10 employees. AI in e-commerce encompasses various technologies that
enhance the customer experience and streamline operations. Key areas include
personalized product recommendations, AI-powered chatbots, inventory management
and fraud detection. AI is also used for dynamic pricing, customer churn prediction and
even generative AI for content creation.

AI Replacing Jobs Statistics: The Impact on Employment in 2025: Did you know
that, 30% of workers worldwide fear that AI might replace their jobs within the
next three years? With projections that AI could potentially replace around 800
million jobs. Worldwide by 2030, it’s no wonder the world is brimming with
anticipation. The economic forecast is equally staggering, with AI’s estimated
economic impact reaching a colossal $15.7 trillion by the same year. Furthermore,
the imminent need for retraining looms large on the horizon. Over 120 million
workers are poised to undergo retaining in the next three years as AI reshapes
industry demands. The projection are approximately 45 million Americans jobs might
be overtaken by AI by 2030 adds an extra layer of complexity to this narrative. 14%
of workers have experienced job displacement due to AI. However, the majority of
businesses foresee computers replacing human tasks within 50 years, highlighting
that while AI is a reality, it has not fully realized its potential for job replacement just
yet.
Table 3: An overview of the ten statistics that impact human employment the most

No. Current Statistic Impact on Employment

1 14% of workers claim to have Ongoing Job Displacement.
already lost a job to ‘robots’.
2 In May 2023, 3900 US job Immediate AI Job Impact.
losses were linked directly to
AI.
3 British Telecom aims to Corporate AI Workforce Plan.
replace 10,000 staff with AI
within 7 years.
4 Early AI and automation have Historical Wage Impact.
already driven down wages by
up to 70% since 1980.

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 5 Now it’s Educated, white- Evolving White-Collar Job
collar workers think that will Impact.
be impacted by automation.
6 81% of office workers think AI’s Positive Workplace
AI improves their job Influence.
performance.
7 30% of workers fear their job Worker Job Displacement
will soon be replaced by Concerns.
technology.
8 More than half of 18 to 24- Generational Employment
year-olds are concerned about Worries.
AI taking jobs.
9 81.6% of digital marketers Content Creation Industry
believe content writers will Concerns.
lose jobs because of AI.
10 CEOs of AI firms like OpenAI AI’s Broader Societal Impact.
have signed an open letter
warning about the risk of
extinction from AI.

Source: [Link]

Dominance of IT Professionals: Unsurprisingly, IT professionals stand at the

forefront of AI utilization in the workplace, with a commanding 54% incorporating AI
technologies into their daily tasks.
Wide Adoption across Job Roles: Beyond IT professionals, the utilization of AI
extends to various other roles. Data engineers account for 35%, developers and data
scientists at 29%, security professionals at 26%, and customer service staff at 25%.
Positive Perception of AI: A substantial 81% of office workers hold a favorable view
of AI, per SnapLogic’s findings. These employees believe AI positively affects their
job performance and overall work experience.
Improving Efficiency and Decision-Making: Of the 400 office workers surveyed,
61% reported that AI enhances their efficiency and productivity, while 49% credited AI
with improving their decision-making abilities.

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Enhancing Work-Life Balance: Additionally, 51% of respondents expressed the
belief that AI enables them to strike a better work-life balance, showcasing the
multifaceted benefits of AI integration in the workplace.
Table 4: Jobs Created vs Lost over the Years (Pre and Post AI Adoption)

Year Jobs Created (in Jobs Lost (in

Lakhs) Lakhs)
2015 (Pre-AI) 2.5 0.4
2016 3.0 0.5
2017 3.8 0.6
2018 (AI starts) 4.2 0.9
2019 4.5 1.1
2020 (COVID + AI 5.0 1.5
boost)
2021 5.8 1.6
2022 6.5 1.7
2023 7.0 1.9
2024 7.5 2.2

Figure 3: Jobs Created vs Lost over the Years (Pre and Post AI Adoption)

8 7.5
7
7 6.5
5.8
6
5
5 4.2 4.5
3.8
4
3
3 2.5 2.2
1.6 1.7 1.9
2 1.5
0.9 1.1
1 0.4 0.5 0.6
0
2015 2016 2017 2018 (AI 2019 2020 2021 2022 2023 2024
(Pre-AI) starts) (COVID
+ AI
boost)
Jobs Created (in Lakhs)
Jobs Lost (in Lakhs)

Source: Author’s calculation

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Insights:

Pre-AI (2015-2017): Fewer job losses; more manual roles.

Post-AI (2018-2024): More jobs created in tech & logistics, but losses in manual &
repetitive roles due to automation.

Artificial Intelligence (AI) is transforming the e-commerce sector at an unprecedented

rate. Along with automation, AI is altering the nature of work, leading to both job
displacement and creation. One major area of impact is the evolution of required skill
sets over time. As AI adoption deepens, employees need more advance and cross-
disciplinary skills to stay relevant.

Pre-AI Phrase (Before 2015): Traditional E-commerce: Dominant Roles: Customer

service, logistics, product listing, Skill Sets in Demand: Basic computer literacy,
Manual data entry, HTML/CSS for website content. AI Role: Minimal to none
Employment Impact: High in volume, low in tech skill requirement.

Early AI Integration (2015-2019): Rise of Automation: Evolving Roles: SEO

analyst, data entry automation, chatbots operator, New Skills Needed: Basic coding
(Phython, JavaScript), Excel + SQL for data analysis, Familiarity with AI-enabled tools
like chatbots. AI Role: Recommendation systems, automated marketing, Employment
Impact: Manual jobs start declining, new jobs in data management and automation
created.
Advanced AI Integration (2020-2023): Intelligent E-commerce: New Roles Created:
AI Analyst, UX/UI Designer (AI platforms), cloud Operations Specialist. In-Demand
Skills: Python, R, TensorFlow, UI/UX design with AI personalization, data science,
predictive analytics. AI Role: Voice assistants, dynamic pricing, and customer behavior
prediction, Employment Impact: Reskilling becomes essential, rise of hybrid roles (tech
+ business).

Current Trends (2024 onwards): Generative AI & Smart Platforms: Emerging

Roles: Prompt Engineer, AI Content Strategist, human-AI Interaction Designer,
Required Skill Sets: AI content creation tools (ChatGPT, Midjourney), No-code/low-
code platforms, Data visualization (Tableau, Power BI), and soft skills: critical
thinking, adaptability, and ethics in AI. AI Role: Hyper-personalization, predictive

14
logistics, AI customer agents, Employment Impact: Significant job creation in AI-
enhanced roles, Decline in routine, repetitive roles

Table 5: Evolution of Skills over Time

Time Period Key Skills AI Roles in E- Employment

Required commerce Trend
Before 2015 Basic IT, HTML, Minimal High low-skill job
manual entry creation
2015-2019 Coding, SEO, Automation, Shift towards tech-
Excel, SQL recommendations enabled roles
2020-2023 Python, UX, data NLP, predictive Hybrid job creation
analysis analytics
2024 onwards AI tools, data viz, Generative AI, AI Focus on smart,
no-code, ethics decision-making creative job roles
Source: [Link]

With the integration of AI, India is experiencing a significant transformation in the

workplace. A recent study Emeritus Global Workplace Skills Study 2025 reveals that
94% of Indian professionals believe AI skills are crucial for career growth.

Additionally, 96% of Indian professionals are already using AI and Generative AI

(GenAI) tools at work, a figure that is significantly higher than 81% in US and 84%in
the UK. As a result, 95% of Indian workers report increased productivity due to these
technologies, outpacing the global average. 90% of Indian professionals consider AI
and GenAI skills essential for future career success, while 94% believe these skills will
help them transition into different industries. Machine learning stands out as a key
focus area in India, with professionals twice as likely as their global peers to prioritize
it. AI’s growing influence in the workplace is also improving job satisfaction, with
93% of Indian professionals reporting that AI-driven tools have enhanced their work
experience, compared to 87% globally. However, despite being early adopters, many
Indians professionals worry about AI replacing jobs if they do not continually upgrade
their skills. This concern is driving a strong demand for upskilling, pushing both
individuals and employers to invest in AI-related learning.

15
Indian employers are demonstrating a strong commitment to workforce development,
with 73% of companies increasing their investment in training programs over the past
year. This figure is much higher than the global average of 46%. Organizations are
supporting employees through internal training programs (44%) and career
coaching (38%), while 40% of professionals expect their employers to contribute
financially to skills enhancement programs. This trends reflects a growing recognition
that AI-driven upskilling is essential for business success and employee retention.

Figure 4: AI Adoption & Usage in India vs Global Countries

AI Adoption & Usage in India vs Global

Countries
73% 96%
of Indian
Indian employers
professionals use
increased
AI & Gen AI tools
investment in at work
employee training 81% (US)
84% (UK)

93% 95%
Say AI enhances Indian workers
job satisfaction report increased
87% (Global) productivity due to
82% (US) AI
83% (UK) 46% (Global
Average)

Source: [Link]

Employees in the public sector, as well as the aerospace and defense and semiconductor
industries are largely skeptical about the development of AI’s future. In the public
sector and aerospace and defense, only 20% of employees anticipate that AI will have
a significant impact on their daily tasks in the next year, versus roughly two-thirds in
media and entertainment (65%) and telecom, at 67% (Exhibit 13). What’s more,
survey shows that just 31% of social sector employees trust that their employers will
develop AI safely. That’s the least confidence in any industry; the cross-industry
average is 71%.

16
Figure 5: US employee sentiment on gen AI, % of respondents (Expected
workflow to change by 30% in the next year)

Public sector 20
Aerospace and defense 20
Semiconductors 36
Social sector 38
Agriculture
42
Financial services
43
Advanced electronics
43
Business, legal and professional service
44
Healthcare
46
Consumer and packaged goods
46
Engeineering, construction and building…
48
Technology
50
Travel, logistics and infrastructure
52
Retail
52
Automotive and assembly
56
Pharmaceuticials and medical products
57
Chemicals
57
Oil and gas
59
Metals and mining
61
Real estate
62
Media and Entertainment
65
Telecom
67

Source: [Link]

Job satisfaction isn’t the only benefit. The report shows positive impacts of AI extend
too many aspects of working life: 79% of employees believe that acquiring AI skills
will enable faster career progression, opening up new opportunities for advancement
within their organizations. 44% of employees who have saved time by using AI are
investing some of that “found” time in training or professional development, further
enhancing their skill and career prospects. 61% of employees believe AI will lead
more job satisfaction, countering fear of job displacement and highlighting AI’s role in
fostering a dynamic and evolving job market.

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 [Link]

The integration of Artificial Intelligence in the e-commerce sector has brought about a
significant transformation in operational efficiency, customer engagement and data-
driven decision-making. While AI has led to automation in various routine tasks, it has
also opened up new avenues for employment, particularly in areas like data analysis, AI
system management, digital marketing and user experience. AI in e-commerce is a
double-aged sword. While some jobs are replaced, many new ones are being created.
The focus should be on reskilling and adapting to changing job profile. With the right
policies and education, AI can become a tool for employment generation rather than
displacement. However, the impact is not uniform across all segments. While skilled
workers benefit from new opportunities, unskilled or semi-skilled workers face the risk
of job displacement without proper retraining initiatives.

In conclusion, AI in the e-commerce sector acts both as a disruptor and an enabler.

The key to ensuring positive employment outcomes lies in proactive policy-making,
corporate investment in employee training, and education systems aligning with future
job demands. With the right strategies, AI can drive sustainable employment growth
and digital inclusion in the evolving e-commerce ecosystem.

The integration of AI in the e-commerce sector has significantly transformed the nature
and structure of employment. This project has revealed that while AI adoption has led
to the automation of routine and repetitive tasks-resulting in the reduction of certain
traditional job roles-it has simultaneously created new opportunities in areas such as AI
system management, data analytics, digital marketing, customer experience design, and
logistics optimization.

AI has enhanced efficiency, customer personalization, and operational speed, pushing

e-commerce companies to re-skill and up-skill their workforce. Rather than eliminating
jobs entirely, AI is reshaping them, demanding a shift towards more tech-oriented and
analytical roles. The net impact of AI on employment is not entirely negative or
positive but rather a shift in the type of jobs being created. Traditional roles are being
replaced or transformed, but simultaneously, there is a growing demand for skilled
professionals in AI-related domains. Thus, the effect of AI on employment
generation is more about job evolution than job elimination

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 A)Analysis wise Conclusion

I have found from the project are: Most of the people are familiar with the concept of AI.
Out of total respondents 77.6% respondents believe that AI can impact employment in
future. The industry which would be mostly affected due to AI is healthcare industry. 42.1%
respondents feel that programming would be the most valuable skill in AI job market. 75.3%
respondents believe that AI will impact the employment in near future. According to the
report, 33.3% respondents feel that Data Scientists will be in demand in AI driven economy.
45.3% respondents feel that AI will replace jobs in near future. 37.8% respondents believe
that administrative tasks are most at risk of being replaced by AI.

Limitations of the study:

While this research aims to provide a comprehensive analysis of the impact of Artificial
Intelligence on employment opportunities yet there are several limitations. These are: The
data may not be more accurate as the respondents would have shown less interest. The study
focuses on specific sectors more prominently affected by AI such as manufacturing,
healthcare, retail, education etc. others sectors might face different impacts which are not
fully explored. AI technology evolves rapidly which can quickly outdate the findings of the
study in near future. AI is a relatively recent phenomenon which leads in limited data on its
impact on employment.

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 B)Objective-wise Recommendations / Suggestions:

Based on the finding of this study on the impact of AI on employment generation in e-

commerce sector, the following recommendations are proposed:
Promote Human-AI Collaboration: Rather than viewing AI as a replacement for
human labor, e-commerce companies should focus on integration AI tools to augment
human productivity. AI can handle repetitive or data-intensive tasks, while human
works can focus on roles requiring creativity, critical thinking and emotional
intelligence.
Invest in Reskilling and Upskilling Programs: The shift toward AI requires a new
skill set among the workforce. Companies and policymakers should invest in training
programs that equip workers with digital literacy, data analysis, machine learning
basics, and AI tool management. This ensures current employees can transition into
emerging roles created by AI adoption.
Create New Job Roles Around AI Technologies: AI is generating demand for new
roles such as AI trainers, data annotators, AI ethics officers, and automation
supervisors. E-commerce firms should actively define and promote such roles to ensure
AI implementation results in net employment gains.
Support Policy Frameworks for Inclusive Growth: Governments should create
policies that encourage responsible AI use while protecting workers right. This includes
mandating companies to conduct impact assessments before deploying large-scale
automation and providing incentives for companies that generate employment through
AI-enable innovations.
Encourage Innovation in AI-Driven Services: By fostering innovation, particularly in
AI-driven customer service, logistics, marketing, and personalization, e-commerce
firms can create new business models that require a blend of human and machine
capabilities, ultimately expanding job opportunities.
Promote AI Ethics and Transparency: To build trust and ensure long-term
sustainability, companies should implement transport AI systems and consider ethical
implications. This will also create demand for professionals skilled in AI governance,
compliance, and fairness monitoring.

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 [Link]

➢ McKinsey Global Institute (2020)

Title: The Future of Work After COVID-19
Source: [Link]
➢ NASSCOM & EY Report (2022)
Title: Future of Jobs in India – A 2022 Perspective
Source: [Link]
➢ PwC (2021)
Title: AI and the Future of Work
Source: [Link]
➢ World Economic Forum (2023)
Title: The Future of Jobs Report 2023
Source: [Link]
➢ Statista (2024)
Title: Growth of Indian E-commerce Market
Source: [Link]
➢ Amazon India Corporate Blog
Title: AI and Machine Learning in Amazon India’s Operations
Source: [Link]
➢ International Labour Organization (ILO), 2023
Title: Automation, AI, and Jobs: Global Insights
Source: [Link]
➢ Harvard Business Review (2021)
Title: Will AI Create As Many Jobs As It Destroys?
Author: Thomas H. Davenport & Rajeev Ronanki
Source: [Link]
➢ India Brand Equity Foundation (IBEF), 2023
Title: E-commerce Industry in India
Source: [Link]
➢ Accenture Report (2022)
Title: Reworking the Revolution: AI and the Future of Jobs
Source: [Link]

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