Artificial Intelligence in Human Resources: Reshaping the future of work in Global Digital Economy – Opportunities, Challenges and Strategic Implications with an Indian Perspective for Global Consumption

Abstract

Artificial Intelligence (AI) is revolutionizing the Human Resource Management domain around the world due to its perceived capabilities to streamline HR processes. This extended abstract examines AI’s role across the employee lifecycle, from NLP-powered recruitment and predictive analytics to personalized upskilling, bias mitigation, data-driven skill management, and Harmonisation of organisation structure across organisations. The HR landscape is evolving amid economic shifts. In India, the IT sector employs over 5 million, while platforms like Urban Company and Swiggy power a gig workforce exceeding 15 million. AI offers tools like chatbots for recruitment and machine learning algorithms for performance forecasting. The challenge here is, will AI augment human potential or expand inequalities? This paper focuses on the approach that, while AI streamlines HR, ethical deployment is crucial to harness demographic advantage. References taken from about 75 reports like NASSCOM-Deloitte on skills gaps, McKinsey’s future of work stuff, NITI Aayog’s AI strategy for Viksit Bharat, MeitY’s 2025 AI rules, TCS, and Flipkart. AI is delivering real results. TCS’s pandemic chatbots cut hiring from weeks to days. Flipkart screens thousands daily. Infosys uses AI to suggest short courses for Industry 4.0 skills, boosting completion by 35%. Microsoft Viva spots collaboration patterns, helps rural women join teams via voice AI in regional languages. Initial Conclusion: AI in HR is not about replacing people; it’s about making them better. India has 650 million working-age folks; Opportunities like faster hiring, gig matching, and mass training are huge. The key challenges, like bias and job shifts, need to be addressed efficiently.