A resolution for the potential Global jobs crises: the Human Capital Monetisation Economic System

New Delhi [India], May 2: As concerns mount worldwide about a widening jobs gap, experts say a new economic framework is needed to tackle what could become one of the biggest challenges of the coming decades.

Deepak Sharma, founder of the Human Capital Monetisation Economic System (HRMES), has written to Ajay Banga, President of the World Bank Group, urging urgent structural reforms to address a projected global shortfall of 800 million jobs.

Citing World Bank estimates, the Bank’s chief noted in his latest report that roughly 1.2 billion young people are expected to join the workforce over the next 10–15 years, while current capitalist and socialist systems are projected to create only about 400 million jobs. He warned that this mismatch could trigger economic instability, heightened migration pressures, and social unrest if left unaddressed.

Sharma described the situation as a “catastrophic and unsustainable scenario,” stressing that the scale of the crisis demands a rethinking of traditional economic models rather than minor tweaks.

According to Sharma, both capitalism and socialism, in their present forms, fall short of meeting the evolving nature of global employment. He argued that capitalism tends to treat labor as a cost to be minimized for profit, whereas socialism, despite its focus on redistribution, often fails to unleash individual productivity and entrepreneurial drive.

“The existing systems do not adequately recognize the latent capabilities of millions of young people who remain outside formal employment,” Sharma stated in his appeal.

As an alternative, he proposed the Human Resource Monetisation Economic System (HRMES), which aims to redefine human potential as a measurable, monetizable economic asset rather than an unused resource.

The framework introduces a method for quantifying individual capabilities based on education, skills, and projected productivity, then integrating that valuation into formal economic systems. It also proposes financial instruments such as Human‑Capital Credit Notes/Bonds (for a limited period), backed by workforce productivity instead of traditional physical or financial assets.

Additionally, the model suggests “Universal Potential Credits,” time‑bound financial supports designed to help individuals or groups launch enterprises. Unlike conventional welfare, these credits would be repayable through future earnings generated from productive activities.

A core element of the proposed system is the National HR Account—a structured ledger to record and manage the economic value of human capital. Sharma also outlined a “Manpower Grid,” a dynamic system to map, allocate, monitor, and optimize workforce capabilities in line with economic demand.

The proposal also seeks to reshape the relationship between labor and ownership. Under HRMES, individuals or groups of professionals would invest their monetized human capital into productive assets such as enterprises, infrastructure, or technology platforms. Returns from these activities would be distributed according to contribution, effectively turning workers into stakeholders.

Sharma argued that such a shift could tackle structural issues like inequality and limited access to capital. By treating skills and capabilities as collateral, the system could broaden participation in economic activity and reduce reliance on traditional financing mechanisms.

He further noted that HRMES has the potential to redefine poverty by removing barriers to entry into productive systems. “When human capability itself becomes the primary asset, the constraints imposed by lack of financial capital can be greatly reduced,” he observed.

The proposal also aims to close the financing gap highlighted by global institutions. Estimates indicate that low‑ and middle‑income countries need between $1.5 trillion and $2.7 trillion annually to meet development goals. Sharma suggested that leveraging human capital as an asset class could generate substantially higher economic value, potentially mobilizing resources on a far larger scale.

He outlined a framework involving the creation of large‑scale manpower databases, valuation of workforce potential, and issuance of financial instruments backed by that valuation. Such mechanisms, he argued, could enable economies to shift from debt‑based financing to asset‑backed systems rooted in human productivity.

Sharma also highlighted the broader repercussions of failing to address the employment gap, warning that economic exclusion on this scale could have lasting geopolitical and social consequences.

In his appeal, he urged the World Bank and other global institutions to launch pilot programs to test HRMES, especially in developing regions where demographic growth is strongest. He suggested these initiatives could help transition from traditional project‑based lending to population‑driven economic participation models.

“The global workforce should not be seen as a liability but as a vast, untapped asset,” Sharma stated, emphasizing the need for a shift in how economies define value, work, and investment.

He also expressed his willingness to engage with policymakers, economists, and international bodies to further develop and refine the framework, stressing that collaborative dialogue is essential for tackling challenges of this magnitude.

As global economies continue to wrestle with technological disruption, demographic shifts, and evolving labor markets, the proposal adds to the ongoing discussion on how best to ensure sustainable and inclusive growth in the years ahead.