The rise of the GCCs in India is happening at a time when the country's biggest IT services companies have stopped hiring in large numbers, faced with cost-cutting and demand for AI-led automation among clients
The GCC workforce is expedcted to reach 2.8 million in 2030, as per a Zinnov report
Image: Madhu Kapparath
In her Budget speech, Union Finance Minister Nirmala Sitharaman included a proposal to develop a ‘national framework’ to support the growth of global capability centres (GCCs) in the country, with emphasis on encouraging them to expand into Tier II cities.
The move is echoed by recent policies announced by some of the state governments. Notably, the government of Karnataka is seeking to incentivise global businesses to consider locations such as Mysuru and Mangaluru to bring 500 new GCCs to the state. It also has the ambitious target of creating 350,000 jobs over the next five years, and the hope is that the growth of GCCs will play a central role in this.
Staffing experts noted how the budget proposals on skilling reflect an effort to foster the entire talent ‘value chain’—from schoolchildren all the way to deeptech researchers.
“The Budget places a strong emphasis on education and digital empowerment, ensuring that India’s talent pipeline is built from the ground up,” Sumit Kumar, chief strategy officer for degree apprenticeship at Teamlease, one of India’s biggest staffing providers, says in an email.
The proposal to set up three AI (artificial intelligence) centres of excellence, with an outlay of ₹500 crore, start 50,000 Atal Tinkering Labs—maker spaces are already in vogue under another Atal scheme—adding 6,500 seats in the IITs and the ₹20,000 crore deeptech fund all augur well for the growth of India’s tech talent ecosystem. It can be tapped not only by the GCCs, but by the country’s emerging tech startups as well.
(This story appears in the 21 February, 2025 issue of Forbes India. To visit our Archives, click here.)