GCC Boom Poised to Reshape India’s Job Market Amid AI Growth and Talent Surge

Global Capability Centres (GCCs) have evolved into innovation hubs that are redefining India’s employment landscape. With over 2.1 million professionals currently employed and more than 1,800 centres operating across India, GCCs are reshaping global business models while powering job creation through AI, innovation, and regional expansion.

The Evolution of GCCs in India

Since the 1990s, India has grown from a back-office destination into the world’s GCC capital, hosting over 45% of all GCCs worldwide, as per EY India. These centres now contribute more than 1.5% to India’s GDP and are driving product innovation, R&D and digital transformation across industries.

GCCs as Strategic Global Powerhouses

GCCs operate as offshore units owned by multinational corporations, offering high-value services such as research, IT, and analytics. Minister Piyush Goyal, during a recent visit to Switzerland, stated that global majors like Capgemini (with 250,000 employees in India) plan to double their workforce in the country in three to four years.

Read More: India's Unemployment Rate Climbs to 5.6% in May 2025! 

Surge in Tier II and Tier III City Expansion

GCCs are no longer confined to metro cities. According to Nasscom-Zinnov, 7% of all GCCs are now in Tier II and Tier III cities, up from 5% in FY19. Cities such as Coimbatore, Indore, Surat, and Kochi are emerging as key tech talent hubs due to lower costs and improved infrastructure.

Cognizant’s 60,000 sq ft TechFin centre at GIFT City and Infinx Healthcare’s Madurai delivery centre are recent examples. The former plans to employ 2,000 people, while the latter aims to create 700 jobs over five years.

Office Leasing Surge as an Indicator

In 2023 and 2024, India’s top seven cities saw over 141.43 million sq ft of gross office leasing. Of this, GCCs leased 52.88 million sq ft, 37% of the total. Bengaluru led the pack with 24 million sq ft (46% share), followed by Hyderabad with 10.06 million sq ft and Pune with 5.28 million sq ft.

GCCs Drive Inclusive Economic Growth

The decentralisation of GCCs is helping create balanced economic development. Employability in Tier I colleges stood at 48.4%, Tier II at 46.1%, and Tier III at 43.4%, supporting the shift towards broader talent inclusion. Moreover, this distribution also addresses real estate saturation and high costs in metros.

GCCs: From Back Offices to Boardrooms

More than 53% of GCCs in India have become transformation hubs. As per Nasscom, India hosts over 6,500 global roles, including 1,100 senior women leaders. GCCs are increasingly steering decision-making for their global operations from Indian soil.

India’s GCC market was valued at $72 billion in early 2025 and is projected to reach $110 billion by 2030, with more than 2,400 centres expected nationwide.

Policy Support and Foreign Investment Boost

The Indian government’s 100% FDI policy for GCCs in IT, BFSI, and healthcare sectors has created a conducive investment climate. Between 2023 and 2024, 124 global companies set up new GCCs. Microsoft announced a $3 billion investment in Azure Cloud and AI skilling. Cisco’s Bangalore unit, with 15,000 employees, is its largest development centre outside the US.

Sanofi’s €400 million investment to grow its Hyderabad GCC to 2,600 employees and Carl Zeiss’s Bengaluru centre focusing on cybersecurity and cloud development are other notable examples.

India’s Talent and Cost Advantage

India produces more than 2.5 million STEM graduates annually. According to Cushman & Wakefield, per employee cost in India is around $33,000 annually versus $134,400 in the US. This cost differential, along with availability of skilled labour, is a major growth driver.

Regulatory and Infrastructure Reforms

The Union Budget 2025–26 introduced a national framework to promote GCCs in Tier II cities. This includes building talent pipelines, easing regulations, and improving digital infrastructure. State governments in Karnataka, Telangana, Gujarat, and Madhya Pradesh have introduced GCC-friendly policies and incentives.

70% of Top 500 Global Companies in India by 2030

The India GCC Landscape report predicts that 70% of the top 500 global companies will expand in India by 2030. Legal experts cite economic resilience, stable governance and advanced digital infrastructure as factors making India the top GCC destination globally.

Conclusion

The exponential growth of GCCs in India represents a defining shift in global business strategy and domestic employment dynamics. From creating millions of high-skill jobs to decentralising economic opportunity, GCCs are no longer just cost-saving entities; they are shaping the future of work in India.

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