DBT Bureau
Bengaluru, 29 August 2024
Indian engineers are preferring Global Capability Centres (GCCs) for employment over Indian IT services companies on the back of better financial compensations.
Recently, a news report quoting TeamLease Digital survey said GCCs (technology captives of foreign firms in India) are giving 12 to 20 per cent higher salaries to their employees than those offered by IT services and non-tech sector domestic companies.
According to the report, while GCCs are paying Rs 9.7 lakh per annum which can go up to Rs 43 lakh per annum at a senior level of over 8 years of experience, IT products and services sector salaries for the same role at an entry-level pays about Rs 5.7 lakh per annum and goes up to Rs. 17.9 lakh per annum with more than eight years of experience.
The report also pointed out that metro cities such as Bengaluru, Gurgaon, Hyderabad, Delhi, Mumbai, and Chennai offer the highest salaries for tech job roles.
Notably, tier-II centres like Jaipur, Indore, and Coimbatore, which are the upcoming hubs for GCCs and data centres, are also witnessing better salaries given to the staffers.
Key functional areas such as software development and engineering, cybersecurity and network administration, data management and analytics, cloud solutions and enterprise applications management, project management and user experience as well as systems operations and technical support services, are the most preferred job roles for which most GCCs are hiring, the report said.
A recent HSBC Global Research report said that IT exports from these GCCs are rising. Overall share of IT exports from India has risen to 23% in 2023 from 18% in 2015. The growth rate of GCCs has been 3 percentage points faster than the top five IT firms every year since 2015, it noted.
A Nasscom-Zinnov report said, India had 1,580 GCCs with 1.66 million employees by the end of FY23. This number is likely to be increased to 2,000 in the next few years, most analysts predict.
