GCC hiring in India: Behind the rise and rise of GCC hiring in India

Global Capability Centers (GCCs), once seen as mere back-office support for large corporations, have evolved into significant players in India’s tech industry. Indian GCCs have showcased India’s tech talent pool to global companies, leading to increased job opportunities.

As per the latest Nasscom-Zinnov India GCC landscape report, the number of GCCs set up in India has increased to 1,700 in FY24, generating $64.6 billion in export revenue and employing over 1.9 million people.

Sangeeta Gupta, senior VP and chief strategy officer at Nasscom, had told ET that the country’s talent pool is the key driver of GCC growth. “GCCs are increasingly important to their parent enterprises, focusing on moving up the value chain, creating opportunities for future leadership, and enhancing their overall impact,” she said.

Attracting talent

• The new headcount hired from IT services by the GCCs stood at 35-41% in the fiscal year ending March 2024 (FY24) as compared with 24-30% in FY22, data sourced from mass recruitment firm Teamlease shows. In FY23, the number stood at 30-35%.

• Not just IT firms, GCCs are doubling down on campus hiring plans for the Class of 2025 across engineering institutes, business schools and general degree colleges, to build a talent pipeline for the future.

“GCCs plan to hire 50% more freshers compared to last year. They are extending up to 30% higher salary offers than homegrown IT services firms,” said Monica Jamwal, managing director, talent solutions at workforce management platform Talent500, part of ANSR that helps MNCs set up GCCs in India.

Better paychecks

GCCs have surpassed their IT services counterparts in terms of compensation, offering lucrative packages to top talent. Approximately 100 Indian GCCs have leaders earning nearly $1 million annually, including cash and stock rewards. These roles encompass India-based site heads and senior VPs leading technology functions.Beyond metros

The Economic Survey and Infosys ESG reports highlighted a trend that tech firms and GCCs of multinationals have also expanded their operations beyond metros, looking for talent in the tier-II and tier-III cities, after people relocated back home after Covid-19.

Over 220 GCC units are housed in such emerging locations in the country with Ahmedabad, Kochi, Thiruvananthapuram, and Coimbatore building critical mass.