GCCs Are Outpacing IT Firms in Hiring by 4X

India’s technology employment sector is undergoing its most profound transformation in a decade, characterized by the rapid emergence of Global Capability Centers (GCCs) as the country’s primary engine for net new job creation.

Recent data indicates a tectonic shift, with GCCs—captive centers owned by multinational corporations—recruiting technology professionals at a rate four times faster than their traditional IT services counterparts.

This divergence signals a fundamental change in where high-value, strategic technology work is concentrating, moving away from outsourced models and toward internalized, specialized teams.

The Data Speaks: A Clear Divergence in Growth

The sheer scale of the GCC hiring surge highlights the industry pivot.

According to data from staffing firm TeamLease Digital, GCCs are aggressively expanding their workforce, reporting an impressive annual growth rate of 18% to 27%.

In sharp contrast, traditional IT services companies—including industry giants like TCS, Infosys, and Wipro—are reporting a much slower growth trajectory, typically hovering between 4% and 6% year-on-year.

This gap has significantly altered the landscape of tech employment:

• Net Job Creation: Over the past fiscal year (FY24/FY25), GCCs are estimated to have contributed over 100,000 of the 120,000 total net new tech jobs added in India. During the same period, IT services firms added a significantly smaller net total, ranging from 25,000 to 40,000 employees.
• Workforce Scale: The combined GCC workforce in India has swelled to nearly 2 million professionals, a substantial rise from approximately 1.2 million in 2022. Industry projections estimate this number will exceed 2.5 million to 2.8 million by 2030, driving the market size from $64.6 billion in 2024 to a projected $105-$110 billion.

GCCs: From Cost Center to Innovation Command Hub

The acceleration in GCC hiring is not simply about volume; it reflects an evolution in their mandate.

GCCs are no longer functioning merely as cost-saving back-office operations or execution centers.

They have matured into strategic innovation hubs responsible for owning core product lines, developing intellectual property (IP), and driving global enterprise-wide digital transformation.

This shift is driven by global organizations choosing to internalize crucial, high-skill operations that were previously outsourced.

Global organizations are increasingly moving work that requires deep domain expertise, speed, IP ownership, and stringent security—such as product engineering, digital customer experience platforms, and core data pipelines—in-house to the GCC.

Over 90 new companies have established GCCs in India this year, and more than 150 existing centers are currently undergoing expansion.

The War for Niche Talent: AI, Cloud, and the Compensation Premium

The demand profile within GCCs is hyper-focused on emerging, high-scarcity skills. The primary areas of concentration include:

1. Artificial Intelligence (AI) and GenAI: GCCs are actively seeking specialists in Large Language Models (LLMs), machine learning (ML), MLOps, and Generative AI platform development, making India the world’s largest enterprise AI talent hub.
2. Cybersecurity: Roles focusing on zero-trust architecture, cloud security, and AI-powered threat detection are in high demand.
3. Product and Platform Engineering: High-impact roles involving end-to-end ownership of global digital platforms.

This intense demand for specialized skills has translated directly into higher compensation.

GCCs typically offer a salary premium of 15% to 25% for standard engineering roles compared to IT services companies.

For roles in cutting-edge areas like AI and GenAI, the premium can soar to 30% or even 40%, creating a significant draw for mid-to-senior level talent who seek both challenging work and better remuneration.

GCCs Growth: Strategic Drivers and Geographic Expansion

India’s structural advantages underpin the momentum behind the GCC boom: a vast talent pool of over 5 million technology professionals, strong government support (such as Digital India and FDI reforms), and the sheer value-per-dollar proposition.

GCCs offer global enterprises control, IP ownership, and operational efficiency without compromising on quality or scale.

Furthermore, the expansion is moving beyond traditional Tier-1 metropolises like Bengaluru and Hyderabad.

To tap into new talent pools and mitigate rising costs and attrition, GCCs are increasingly establishing operations in Tier-2 and Tier-3 cities such as Pune, Chennai, Coimbatore, and Kochi.

This geographic diversification is broadening the impact of the tech boom across the country.

Ultimately, this trend is reshaping the Indian technology talent market, shifting the game from “how many” people can be hired for mass delivery to “what kind” of specialized expertise can be centralized for innovation and strategic value creation.

While IT services firms still employ a larger overall workforce, the rapid growth and strategic mandate of GCCs establish them as the primary drivers of future tech employment in India.

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