India’s global capability centre (GCC) ecosystem has seen thousands of job cuts this year, with estimates ranging from 4,000–5,000 to as high as 25,000–30,000, as companies restructure their operations and push for AI-led productivity gains, as reported by Moneycontrol.
EIIRTrend CEO Pareekh Jain estimated the cuts at around 25,000–30,000, while 3AI’s Sameer Dhanrajani put the figure at 4,000–5,000. The reported reductions include around 600 roles at PayPal and 1,500 at Visa, along with cuts at ServiceNow and other GCCs.
The layoffs come as Indian GCCs take on larger technology, engineering, AI, and product mandates, signalling a shift from broad-based headcount expansion towards smaller teams with deeper technical capabilities.
India’s GCC ecosystem currently employs around 2.4–2.5 million people across more than 2,100 centres.
The workforce reductions come as AI changes the composition of work inside GCCs. Data cited by Moneycontrol shows that 17.7% of GCC work is commodity-based, while 38.1% is complex, while around 55% of the portfolio has some exposure to potential AI displacement. This does not mean 55% of jobs will disappear; rather, tasks within those roles could be redesigned or automated as companies change how work is performed.
Previously, Neeti Sharma, CEO, TeamLease Digital, told AIM, “While some impact comes from global headquarters restructuring, it’s not direct. Indian GCCs continue to gain higher-value work and are moving from volume hiring to skill-based, smaller, sharper teams focused on innovation.”
The distinction is becoming important as Indian GCCs take on more strategic functions. Centres are increasingly handling AI, engineering, and product responsibilities, including areas of enterprise decision-making previously concentrated at global headquarters.
This means headcount and strategic importance are not necessarily moving in the same direction. A GCC can reduce staffing in some functions while taking on more responsibility for products, engineering platforms, and AI systems. Companies are also continuing specialised hiring and establishing new centres, even as they become more selective about overall headcount.
Your reaction