Skill gaps in India's GCC sector may put 19.3% of future value at risk

Skill gaps in India's GCC sector could risk 19.3% of future value by 2030, a PwC-FICCI study finds. With 86% of GCCs expecting AI to transform work, nearly half the workforce needs reskilling and talent investment may need to double.

Skill and talent gaps in India's global capability centre (GCC) sector could put up to 19.3 per cent of the sector's future value at risk by 2030, even as GCCs prepare for a major shift towards artificial intelligence (AI)-led work, according to a PwC India-FICCI study.

The report, based on a survey of 200 senior GCC executives across eight industries, said skill shortages are already limiting annual value creation by up to 10 per cent. It added that GCCs could unlock an additional 7.83 per cent in annual value or revenue by addressing key skill gaps.

AI Integration and Readiness Challenges

The study comes as 86 per cent of GCCs expect AI integration to bring substantial or transformational changes to the nature of work by 2030. However, readiness remains uneven, with more than 90 per cent of GCCs reporting that no more than 40 per cent of their leadership teams have adequate AI literacy for strategic decision-making.

Upskilling and Investment Imperatives

The report said nearly half of the GCC workforce, or around 46 per cent, will require significant upskilling or reskilling over the next three years. New hires currently take an average of 8.69 months to become productive, highlighting the need for more targeted and sector-specific skilling programmes.

GCCs are expected to significantly increase spending on talent development. Current annual talent investment is typically around 3 per cent of operating budgets, but these allocations may need to double to at least 6 per cent to build capabilities for the AI era. About 94 per cent of leaders said they need to invest at least 6 per cent, while 27 per cent expect investments to exceed 8 per cent of operating budgets.

The Rise of 'Composite Skills'

The report said future-ready GCC employees will need a combination of AI capabilities and traditional skills, including domain knowledge, business judgement, problem-solving and strategic leadership. It termed these "composite skills", which can help organisations move from AI adoption to enterprise-wide value creation.

India's GCC Leadership Outlook

Despite the challenges, 90 per cent of GCC leaders remain confident that India will retain its global GCC leadership position through 2030. The report said this confidence will depend on coordinated action by industry, government, academia and technology providers to build skills at the required speed and scale.

As of FY26, India had more than 2,100 GCCs employing around 2.36 million skilled professionals and generating USD 98.4 billion in revenue, according to the report. (ANI)

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