AI and Automation in Pakistan: Threat or Opportunity for Jobs?
Artificial Intelligence (AI) and automation are rapidly transforming industries across the globe, and Pakistan is no exception. As businesses and organizations adopt these technologies, the country faces a crucial question: Will AI and automation lead to mass unemployment, or can they create new job opportunities and drive economic growth? The future of work in Pakistan depends on how well the nation adapts to these changes and prepares its workforce for a technology-driven economy.
The Automation Impact on Employment in Pakistan
Automation is significantly affecting employment across various sectors in Pakistan, particularly in industries that rely on manual labor and repetitive tasks. While these technologies improve efficiency and reduce costs for businesses, they also pose a serious risk of job displacement for workers with low or outdated skills.
1. Manufacturing Sector
Pakistan’s manufacturing industry, which employs millions, is highly vulnerable to automation. The introduction of robotics, AI-powered production lines, and automated machinery has started to reduce the demand for traditional factory workers. Research indicates that automation could decrease factory jobs by 25% to 40% over the next decade, especially in sectors like textiles and automobile manufacturing. Many companies are now investing in smart manufacturing, where AI-driven machines enhance productivity while minimizing human intervention.
2. Retail Industry
The retail sector is also experiencing significant changes due to automation. AI-powered self-checkout systems, inventory management tools, and e-commerce platforms are reducing the need for traditional retail workers. The rise of online shopping and automated warehouses is further accelerating this shift. Small businesses and local markets may continue to employ people, but large-scale retailers are moving towards automated solutions, threatening traditional retail jobs.
3. Agricultural Sector
Agriculture is the backbone of Pakistan’s economy, employing a significant portion of the population. However, automation in agriculture—such as drones, AI-driven irrigation systems, and automated harvesting—could reduce the need for manual labor. While these technologies increase efficiency and yield, they also displace farmers and laborers who rely on agriculture for their livelihood. Rural areas, where agriculture is the primary employment source, could face economic hardships if workers are not reskilled for emerging opportunities.
4. Overall Job Displacement Risks
Reports suggest that around 17% of jobs in Pakistan are at high risk due to automation. A study by the World Economic Forum estimates that by 2030, up to 1.2 million jobs could be displaced in Pakistan. If automation continues at its current pace without adequate workforce planning, mass unemployment could become a severe challenge.
AI Jobs in Pakistan: A New Opportunity for Employment
Despite the risks posed by automation, new job opportunities are emerging in technology-driven sectors. As AI and automation reshape industries, there is a growing demand for skilled professionals who can develop, manage, and maintain these technologies. AI jobs in Pakistan are increasing in fields such as AI development, data science, robotics, and cybersecurity.
1. AI and Data Science
AI and data science are among the fastest-growing fields worldwide. In Pakistan, the demand for data analysts, AI engineers, and machine learning specialists is rising. Currently, around 15,000 professionals are working in AI-related fields, and this number is expected to grow as more companies integrate AI into their operations. Universities and training institutes are also introducing AI and data science programs to equip students with relevant skills.
2. Robotics and Automation Engineering
The increasing use of robotics in manufacturing, healthcare, and logistics is creating new opportunities for robotics engineers and automation specialists. The global robotics market is expanding, and Pakistan can benefit by developing a skilled workforce in this sector. Professionals with expertise in robotics can work on designing, programming, and maintaining automated systems, ensuring job growth despite the automation impact on employment.
3. IT and Cybersecurity
As businesses go digital, cybersecurity threats are also increasing. This has led to a surge in demand for cybersecurity experts who can protect organizations from cyberattacks. IT professionals with expertise in network security, ethical hacking, and AI-based threat detection are becoming essential in the modern workforce.
4. Freelancing and Remote Work
Pakistan is one of the world’s top countries for freelancing, and AI skills are becoming a valuable asset in the gig economy. Many freelancers are offering AI-driven services such as chatbots, data analysis, and AI-based marketing automation to international clients. By acquiring AI-related skills, Pakistani freelancers can tap into a growing global market, enhancing their earning potential and contributing to the country’s economy.
The Future of Work in Pakistan: Challenges and Opportunities
The future of work in Pakistan will depend on how effectively the country manages the transition towards automation. While AI and automation pose a risk to traditional jobs, they also offer significant economic advantages by improving productivity, reducing operational costs, and enhancing global competitiveness.
1. Enhancing Economic Competitiveness
By embracing AI-driven solutions, Pakistan can improve its industrial output and compete with global markets. For example, automation in the textile industry can increase efficiency and reduce production costs, making Pakistani exports more competitive against countries like China and India. Similarly, AI-driven financial services can improve banking operations and attract international investments.
2. Addressing Social and Ethical Concerns
The shift towards automation raises concerns about inequality and job security. High-skilled workers will benefit from new opportunities, but low-skilled workers face a greater risk of unemployment. This could lead to widening income gaps and social instability if not addressed properly. Ensuring an inclusive transition to AI-driven industries will be crucial for Pakistan’s economic and social stability.
3. Government Policies and Workforce Development
To mitigate job losses, the government must take proactive measures to prepare the workforce for an AI-driven economy. This includes:
● Investing in Education and Training: Expanding AI and automation-related courses in universities and technical institutes.
● Reskilling and Upskilling Programs: Providing vocational training to workers in industries facing automation risks.
● Encouraging AI Research and Development: Supporting innovation in AI and robotics to create homegrown technological solutions.
● Implementing Social Safety Nets: Introducing policies such as unemployment benefits and job transition support for workers displaced by automation.
4. Private Sector Involvement
The private sector must also play a role in preparing for the future of work in Pakistan. Companies should invest in employee training programs, encourage AI adoption in a way that supports human workers, and collaborate with educational institutions to create a skilled workforce.
Conclusion: A Balanced Approach to AI and Automation
AI and automation are reshaping Pakistan’s job landscape. While these technologies pose significant risks to traditional employment sectors, they also create new opportunities in AI, data science, robotics, and cybersecurity. The automation impact on employment will largely depend on how effectively Pakistan adapts to these changes.
To ensure that the transition benefits workers rather than displacing them, a balanced approach is necessary. The government must implement policies to reskill the workforce, businesses should invest in AI-driven innovation while supporting employee training, and individuals should proactively acquire new skills relevant to the digital economy.
Ultimately, the future of work in Pakistan will be shaped by how well the country prepares for an AI-driven era. By embracing technology while addressing its challenges, Pakistan can turn the threat of automation into an opportunity for economic growth and job creation.
At the same time, if you’re looking for data analytics services, Akademos has got you covered! Get in touch with us to learn more.
