Microsoft to integrate AI features in welfare schemes to benefit 310 million informal workers

Microsoft will be integrating advanced AI capabilities into the two digital public platforms of the Union Ministry of Labour and Employment, which is expected to benefit more than 310 million informal workers in the country.

This announcement was made during the ongoing India visit of Microsoft Chairman and CEO Satya Nadella.

The two digital platforms are e–Shram and the National Career Service (NCS). The e-Shram portal is a database of informal workers, which is integrated with NCS, which helps the informal workers to scout for new jobs with regulated working conditions and access to social security.

Both these platforms are built on the Microsoft Azure cloud infrastructure. The e-Shram platform, launched in 2021, connects workers to 18 welfare schemes and has contributed to expanding India’s social protection coverage from 24% in 2019 to 64% in 2025, according to a statement. This platform offers services such as accident insurance, public housing, medical subsidies and farming grants.

The Azure OpenAI Service of Microsoft will now enable both e-Shram and NCS with enhanced features such as multilingual access, AI-assisted job matching, predictive analytics for skill and demand trends, automated resumé creation, and personalised pathways toward formal employment.

This collaboration marks a steady step forward in applying AI at population scale, strengthening India’s digital public infrastructure and enhancing the accessibility and effectiveness of employment and social protection services, Microsoft said.

Union Labour & Employment Minister Mansukh Mandaviya said, “By embedding AI into platforms like eShram and the National Career Service, we are fortifying social security and moving closer to our goal of social protection to 100 crore citizens.”

The informal workers category makes up about 82% of the country’s workforce, according to the India Employment Report 2024 by the Institute for Human Development and the International Labour Organization (ILO).

There are even plans to offer e-Shram and NCS as digital public infrastructure and digital public goods to other countries.