From BERT to T5: A Study of Named Entity Recognition

Language is humanity's most consequential technology, yet for over a billion speakers across India's twenty-two constitutionally recognised languages, its digital layer remains structurally incomplete. Named Entity Recognition (NER), the foundational step in transforming raw text into machine-interpretable knowledge, has been studied exhaustively for English but remains largely unsolved across most Indic languages. This paper presents a rigorous comparative study of generative and encoder-based neural architectures for NER on all eleven languages of the Naamapadam benchmark. We evaluate five classic model families spanning sequence-to-sequence transformers and multilingual encoders; four decoder-only large language models (LLMs) fine-tuned with LoRA and 4-bit NF4 quantisation; and nine generative models in zero-to-5-shot inference. Under strict CoNLL span-level evaluation, encoder-based models (mBERT and XLM-R, both F1=0.675 on Hindi) substantially outperform every generative architecture in ten of eleven languages, with gaps of 7.5-40 percentage points against the strongest competitor (Gemma-2-2B: avg F1=0.427). The best few-shot result reaches only 28% of the encoder baseline. We identify three language clusters--encoder-dominant, partial-coverage, and failure-zone; and provide actionable deployment guidelines grounded in transfer learning and low-resource NLP principles.

Recent progress in universal multilingual named entity recognition (NER) has been driven by multilingual transformer models, task-specific architectures, custom loss functions, and large-scale training datasets. However, despite substantial prior work, we find that many design decisions for such models are made without systematic justification, with individual components evaluated only in combination rather than in isolation. We argue that this impedes progress in the field by making it difficult to identify which choices improve multilingual generalization. In this work, we conduct an extensive empirical evaluation on transformer backbones, architectures, training objectives, data composition, and threshold selection for zero-shot, multilingual NER models. Building on these findings, we present Otter, a small encoder model that achieves consistent improvements over strong multilingual NER baselines, outperforming similarly sized models by 5.7 percentage points in F1. Further, it remains within 1.4 points of Qwen3-32B and 5.4 points below Gemma3-27B, while being roughly 90x smaller and one to two orders of magnitude faster at inference.

Large language models are increasingly used to annotate datasets for training smaller, task-specialized models such as named entity recognition. While this method yields effective models, it assumes that the synthetic dataset is correctly annotated. In this work, we find that (i) current fine-tuning processes simply ignore LLM-introduced annotation noise, resulting in degraded performance and (ii) existing noise-robust losses are not transferable to sequence labeling because annotation noise in named entity recognition is heterogeneous: for example, missing mentions and type errors affect the training signal in different ways. Treating all noisy tokens equally in noise-robust losses and applying a single reweighing criterion for all may therefore remove useful supervision or reinforce incorrect labels. To address this limitation, we propose error-type-aware loss reweighting for NER, which introduces separate reweighing rules for different types of potentially erroneous tokens. Our approach is simple and efficient, does not require additional training resources, and improves F1 by 0.8 - 2.0 percentage points on dataset-level average for noise levels between 15% and 40%, with a maximum improvement of 4.6 percentage points with 24.1% noise on Wikigold.