Employability Crisis: Can AI-Focused Education Fix The Skill Gap? Explained

Industries ranging from healthcare and finance to manufacturing are undergoing rapid transformation due to the integration of artificial intelligence into business models.

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Automation, data analytics, and machine learning are now central to everyday workflows.

A growing mismatch between how universities train students and what employers expect has raised alarms over a potential employability crisis. Experts warn that without urgent reforms in higher education, graduates may continue to struggle to meet industry requirements.

Need For An Overhaul In University Education

To address declining employability, India's university system needs a structural overhaul. Academic curricula must move beyond theory-driven learning and focus on preparing students for future job roles by aligning skills training with industry needs.

AI Is Reshaping Every Major Industry

Industries ranging from healthcare and finance to manufacturing are undergoing rapid transformation due to the integration of artificial intelligence into business models. Automation, data analytics, and machine learning are now central to everyday workflows.

"The increasing disparity between the expectations of employers and how universities train their students continues to widen. Many industries, such as health, finance, and manufacturing, are currently changing because artificial intelligence is being integrated into their processes and business models through the incorporation of automation, data analytics, and machine learning into workflows," said Manish Mohta, Founder, Learning Spiral.

Rising Demand For AI Skills

As AI adoption accelerates, the demand for AI-related skills is set to rise further. However, academic institutions have been slow to adapt.
"The demand for skills related to artificial intelligence will continue to grow. The larger issue is that many classroom-based courses offered by colleges and universities remain fairly old-fashioned and do not adequately address the rapid changes occurring in new and emerging technologies, including artificial intelligence. As a result, college and university educators will need to become educators of artificial intelligence as well," Mohta added.

Access And Equity Remain Key Challenges

Despite its advantages, AI-driven education is not a standalone solution. Access remains a major concern, particularly for students from rural or low-income backgrounds.

"Without adequate support from government officials, the growth of AI-focused learning could easily be restricted to elite and private learning institutions. Furthermore, focusing solely on technical skills without developing critical thinking, communication skills, and ethical behaviour could create a workforce that is highly skilled but not adaptable," he further said.

AI Learning Must Complement, Not Replace Degrees

Experts emphasise that AI-focused education should supplement-not supplant-traditional degrees. A balanced approach is needed to ensure long-term employability.

What Will Make AI Education Effective?

For AI-focused learning to succeed, it must combine foundational subject knowledge with AI skills, hands-on experience through internships, and strong industry partnerships.

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AI-driven education has emerged as a potential bridge between the Indian economy's demand for skilled workers and the employability of graduates, offering a possible solution to the growing skills gap.

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