Global capability centres (GCCs) in India are slowing hiring as artificial intelligence reshapes job roles and companies adopt a more cautious approach to expansion, according to ANSR CEO Lalit Ahuja.
India hosts more than half of the world’s GCCs, serving as a major hub for global firms in technology, finance and engineering due to its large skilled workforce and lower operating costs. However, that hiring momentum is now easing as companies reassess staffing needs.
Ahuja said firms are becoming more conservative in recruitment as AI reduces the need for certain roles and automates parts of traditional workflows. He noted that some companies have cut hiring plans by 30% to 50%, with earlier projections for centres employing over 5,000 people now being scaled down to around 2,000.
He added that the change is not driven only by cost concerns but also by uncertainty in global markets and the rapid adoption of AI tools, which are reshaping how work is distributed across teams. Many organisations are now adopting a “wait and test” approach, expanding more slowly rather than committing to large-scale hiring upfront.
Despite the slowdown in hiring, India continues to remain a key destination for global companies setting up capability centres. Industry estimates still project growth in the overall number of GCCs, but with a shift in focus from large headcount expansion to smaller, more agile teams.
The nature of work inside these centres is also changing. Instead of large volumes of routine tasks, companies are increasingly moving toward higher-value work supported by automation and AI-driven systems.
Ahuja said the long-term outlook remains positive for India, but the structure of employment is evolving. Future GCC growth, he noted, will likely depend less on scale alone and more on specialised skills, digital capabilities and AI integration across operations.
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