India’s fragmented landscape of AI regulation and governance and the work and employment scenario

This commentary is part of the Artificial Intelligence Observatory for the World of Work (AIPOWW) Symposium on Global Political Economy and contributes to worldwide debates on AI governance by highlighting the experience of a major emerging economy, India, influenced by informality, inequality and rapid technological change. It helps to get a comprehensive picture of India’s fragmented yet fast-evolving AI governance landscape, the human response to AI adoption and the work and employment scenario. The commentary highlights how the fragmented governance and regulation of AI has limited engagement with labour rights, even as AI-driven transformations reshape employment dynamics. In a labour-surplus economy dominated by informal work, the impact of AI is complex: while it offers employment through digitally mediated platforms and data annotation tasks, it intensifies precarity, de-skilling and surveillance. India’s regulatory efforts have largely overlooked these challenges. Euphoric sentiment coexists with critical issues around algorithmic fairness, worker protection and labour inclusion. The commentary calls for cohesive regulation that integrates employment concerns, ensuring India’s AI trajectory aligns with inclusive development goals and India’s obligations to meet ILO standards. Recent developments such as state-level platform worker bills are encouraging steps in this direction.