The expansion of global capability centres (GCCs) in India, coupled with the increasing demand for technology professionals, creates a notable salary disparity compared to IT services firms. According to a TeamLease Digital report, GCCs offer salaries 12-20% higher than those in IT services and other non-tech industries for similar roles. For instance, GCCs provide annual salaries between US$ 11,562.21 (Rs. 9.7 lakh) and US$ 51,255.16 (Rs. 43 lakh) for software developers, depending on experience. In contrast, the IT sector offers about US$ 6,794.29 (Rs. 5.7 lakh) per annum for entry-level positions, with salaries reaching up to US$ 21,336.45 (Rs. 17.9 lakh) for those with over 8 years of experience. Currently, 1,600 GCCs employ over 1.66 million people in India, with 800 more expected to be established in the next 5 to 6 years, particularly in Tier-II cities like Kolkata, Ahmedabad, and Vadodara.
Despite these developments, the sector faces a significant skills gap, with only 2.5% of engineers proficient in AI and 5.5% with fundamental programming skills. To address this, 86% of Indian businesses are actively reskilling their IT workforce. The IT services industry is also set for expansion, with cloud investments projected to rise by 25-30% over the next 5 years. Additionally, while the number of women in tech roles is expected to increase to 25-35% by 2027, the industry still grapples with a gender pay gap averaging 10-17% and up to 30% for certain roles. This gap is attributed to structural inequalities and barriers to career progression, with recommendations including transparent pay policies, mentorship opportunities, and flexible work arrangements to improve gender parity.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.