New Delhi
Amid growing concerns over a widening global employment gap, a new framework called the Human Capital Monetisation Economic System (HRMES) has been proposed as a potential solution to an emerging global jobs crisis, according to a report.
The proposal suggests redefining human potential as a measurable economic asset and integrating it into formal financial systems. It argues that traditional economic models such as capitalism and socialism may be insufficient to address future labour market disruptions caused by automation, demographic shifts, and structural unemployment.
The framework highlights projections that around 1.2 billion young people will enter the global workforce in the coming years, while existing systems may generate only about 400 million jobs. This gap, it warns, could lead to economic instability, migration pressures, and social unrest if not addressed through structural reform.
The HRMES model proposes mechanisms such as human capital valuation based on skills and productivity, issuance of human capital-backed financial instruments, and creation of national-level workforce databases. It also introduces the concept of “Universal Potential Credits” to support skill development and entrepreneurship.
According to the proposal, treating human capability as an economic asset could unlock new financing models and reduce dependence on traditional welfare systems. It also suggests that individuals could collectively invest their monetised skills into enterprises, sharing returns based on contribution.
The framework calls for pilot programmes in developing economies and collaboration with global institutions such as the World Bank to test its feasibility.
However, analysts note that while the idea aims to address structural unemployment concerns, it would require significant policy coordination, regulatory innovation, and ethical safeguards to implement at scale.
The proposal adds to ongoing global debates on job creation, automation risks, and the future of work in rapidly changing economies.