India’s global capability centres (GCCs) are projected to add 1 million to 1.4 million net jobs by 2031, taking their combined workforce from approximately 2.3 million today to between 3.3 million and 3.7 million, according to a report by Embark published on October 23, 2026. The expansion could also generate demand for an additional 150 million to 170 million square feet of office space, highlighting India’s growing role in the global operations of multinational companies.
The report, titled India GCCs in the AI Era: Implications for Workforce Growth and Office Demand, argues that artificial intelligence will change the composition of GCC workforces without necessarily ending their expansion. Companies are expected to hire more specialists in AI, data, cybersecurity, platform engineering and other advanced functions, even as automation and consolidation reduce demand for some routine roles. Existing GCCs are expected to drive around 80% of the projected workforce additions.
Key Takeaways
- Job growth: India’s GCC sector could add 1 million to 1.4 million net jobs by 2031.
- Larger workforce: Total GCC employment is projected to reach 3.3 million to 3.7 million, up from approximately 2.3 million.
- Office demand: GCC expansion could create demand for 150 million to 170 million square feet of additional office space.
- AI-driven transformation: 92% of surveyed GCC leaders said their organisations had moved beyond selective AI adoption, but realised productivity gains remained below 15%.
- Existing centres lead hiring: Established GCCs are expected to account for around 80% of incremental workforce additions.
- Specialist skills: Demand is expected to rise for AI, data, platform engineering, cybersecurity, governance and domain-specific expertise.
- Major cities retain their lead: Around 90% of new GCC setups are projected to be in Tier-1 cities, with Bengaluru and Hyderabad remaining important hubs.
What Are GCCs, and Why Are They Expanding in India?
Global capability centres are operations established by multinational companies to manage business functions from another country. They can handle software development, financial operations, analytics, research, cybersecurity, product engineering and customer support.
Unlike traditional outsourcing arrangements, many modern GCCs are directly owned and operated by the parent company. They increasingly take responsibility for important products, platforms and business outcomes rather than simply completing tasks assigned by overseas headquarters.
India has become a major destination for these centres because of its large technology workforce, established business services industry and access to specialised talent. Companies can use Indian operations to support global functions while building teams in areas such as AI development, engineering and data management.
The Embark report suggests that this role is evolving further. Existing centres are expected to take on broader responsibilities, while additional multinational companies could establish operations in India over the next five years.
How Many Jobs Could India’s GCC Sector Create?
The report projects substantial growth in both employment and office demand by 2031.
| Metric | Current estimate | Projection for 2031 |
|---|---|---|
| GCC workforce | 2.3 million | 3.3–3.7 million |
| Net job additions | — | 1–1.4 million |
| Additional office demand | — | 150–170 million sq. ft. |
| Share of job additions from existing GCCs | — | Around 80% |
| New GCC setups located in Tier-1 cities | — | Around 90% |
Source: Embark’s “India GCCs in the AI Era” report. Figures are estimates and projections, not guaranteed outcomes.
The projected employment increase reflects more than the creation of new centres. Existing GCCs are expected to expand their mandates, manage more complex functions and take greater ownership of products and platforms.
This distinction matters because an established centre can increase its workforce and responsibilities even without a new multinational company entering India. Embark expects this expansion of existing operations to remain the primary source of additional jobs.
How Artificial Intelligence Could Change GCC Hiring
AI adoption is becoming increasingly common across GCCs, but the report suggests that implementing AI and achieving measurable productivity gains are two different things.
Of the GCC leaders surveyed, 92% said their organisations had progressed beyond selective AI adoption. However, realised productivity gains remained below 15%, indicating that many companies still face challenges in turning AI projects into measurable business improvements.
These challenges can include preparing reliable data, redesigning workflows, training employees and establishing governance systems. Simply deploying an AI tool does not automatically translate into lower costs or higher output.
At the same time, AI could increase demand for workers who can build, integrate, secure and supervise AI systems. The report identifies several areas expected to benefit:
- AI and machine learning engineering
- Data engineering and analytics
- Platform and software engineering
- Cybersecurity
- Solution architecture
- AI governance and observability
- Industry-specific technical expertise
For job seekers, this suggests that technical and analytical skills could become increasingly valuable. However, the report does not guarantee that every worker who learns an AI tool will secure a GCC position. Hiring will also depend on experience, business needs and the ability to apply skills to practical problems.
Will AI Automation Reduce Some GCC Jobs?
The report expects automation, slower replacement hiring and role consolidation to moderate demand for routine positions by approximately 400,000 to 500,000.
However, Embark estimates that expanded mandates and new GCC setups could contribute 1.2 million to 1.5 million positions, while AI-led role creation could add around 300,000 roles. These additions are projected to more than offset the reduction in demand for routine work.
The estimates describe changes across the sector, not a guarantee that every affected employee will move into a newly created position. The transition could be uneven across companies, occupations and skill levels.
Routine work may become less important in some operations, while more complex engineering, analysis, governance and product responsibilities expand. Companies will need to determine which tasks can be automated, which require human oversight and which new capabilities are necessary.
The report’s broader implication is that workforce growth and automation can occur simultaneously. The overall number of jobs may increase even as the mix of roles changes.
Why Existing GCCs Are Expected to Drive Most Hiring
Embark expects established GCCs to account for around 80% of incremental workforce additions through 2031.
This reflects the shift from delivery-focused operations toward centres that own entire business functions, products, platforms and outcomes. A company that initially established a team for software maintenance, for example, could later expand it to include product development, cybersecurity, data science and strategic engineering.
The report also identifies a potential pipeline of new entrants. It estimates that approximately 3,144 viable companies in the Global 5000 have not yet established a GCC in India, creating the possibility of 590 to 640 additional centres by 2031.
Mid-market companies are expected to account for about 28% of new setups. Smaller entry models, including so-called Nano GCCs employing approximately 5 to 100 specialists, could help some companies establish operations without building a large centre immediately.
These figures represent Embark’s estimates of potential expansion, not confirmed commitments by individual companies.
Which Indian Cities Could Benefit Most?
Tier-1 cities are expected to remain the primary destinations for new GCCs. Embark estimates that around 90% of new setups through 2031 will be located in these cities.
Bengaluru and Hyderabad are particularly important, together accounting for 67% of Tier-1 GCC leasing, according to the report. Their established technology ecosystems, talent pools and office infrastructure support the concentration of multinational operations.
Tier-2 and Tier-3 cities may also gain opportunities through hub-and-spoke models, in which a company maintains a large centre in a major city while placing selected teams or functions elsewhere.
Such arrangements can help companies access additional talent, diversify operations and manage costs. However, the report expects these smaller cities to play a more targeted role rather than displace the largest GCC hubs.
What the Forecast Means for India’s Office Market
The projected 150 million to 170 million square feet of additional office demand highlights the potential real-estate impact of GCC expansion.
Demand is expected to reflect both workforce growth and changing workplace requirements. As GCCs take on more collaborative and specialist work, they may need different office layouts, secure infrastructure and spaces designed for research, innovation and complex projects.
Embark estimates that collaboration and shared spaces could increase from 27% of workplace allocation to 55% by 2031. This would represent a shift away from planning offices primarily around individual desks.
The report also expects banking, financial services and insurance, together with technology, media and telecommunications, to account for approximately 54% of incremental GCC office demand. Retail and consumer packaged goods could also experience comparatively rapid growth in office requirements.
Actual demand will depend on hiring, hybrid-work policies, real-estate decisions and the pace at which companies expand their operations.
The Bigger Picture
India’s GCC industry is moving toward a model in which global companies use their Indian centres for increasingly important technology, research and business functions. Embark’s forecast suggests that this transition could support substantial employment growth through 2031, even as AI changes how work is organised.
For workers, the opportunity is likely to be increasingly connected to specialised capabilities rather than the volume of routine tasks they can perform. For businesses, the challenge will be to convert AI adoption into measurable productivity while investing in people, infrastructure and governance. The projected growth remains a forecast, and its outcome will depend on how companies execute their expansion plans.
FAQs
1. How many jobs will India’s GCCs add by 2031?
Embark projects that India’s GCCs will add between 1 million and 1.4 million net jobs by 2031, increasing total employment from approximately 2.3 million to 3.3 million–3.7 million.
2. What is driving GCC growth in India?
Key factors include multinational companies expanding existing centres, establishing new operations and assigning Indian teams broader responsibilities in software, AI, research, data and business functions.
3. Will AI reduce jobs in India’s GCC sector?
AI automation and role consolidation are expected to moderate demand for some routine positions. However, Embark projects that expansion of existing centres, new setups and AI-led job creation will more than offset this impact at the sector level. Individual outcomes will vary.
4. Which skills could be valuable for GCC jobs?
The report identifies AI, data engineering, platform engineering, cybersecurity, solution architecture, governance, observability and domain-specific expertise as important areas. Practical experience and the ability to apply these skills to business problems will also matter.
5. Which cities are expected to attract the most new GCCs?
Tier-1 cities are projected to account for around 90% of new setups. Bengaluru and Hyderabad remain major hubs, while selected Tier-2 and Tier-3 cities could benefit from more targeted expansion.
Looking Ahead
Over the next five years, the pace of GCC hiring will depend on whether multinational companies expand existing centres, establish new operations and transfer more complex responsibilities to India. The Embark report provides a substantial growth forecast, but businesses’ actual hiring plans and the wider economic environment will determine how much of that opportunity materialises.
For professionals preparing for this market, developing strong foundations in software, data, cybersecurity or AI-related disciplines may help improve access to specialised roles. The larger opportunity is not simply to learn individual tools, but to build the technical knowledge and problem-solving ability needed as India’s GCCs take on more strategic work.
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