India’s GCC boom faces rising compliance burden with over 2,000 annual Filings: Report
The increased requirement of compliance has led to GCCs deploying technology to ensure that there are no lapses.
India’s Global Capability Centres (GCCs) are expanding rapidly across sectors, skills, and geographies, but this growth is unfolding within one of the most complex compliance environments governing enterprise operations.
A new report by TeamLease RegTech highlights the scale of regulatory obligations facing these centres as they scale their workforce and capabilities.
The report, “GCCs in India: Cultivating Capability, Ensuring Compliance,” finds that each GCC in India must comply with more than 500 distinct legal obligations, resulting in over 2,000 filings annually across central, state and local authorities. The compliance landscape spans labour, tax, environmental, and corporate governance regulations and involves at least 18 regulatory bodies.
According to the report, GCCs must track 194 annual, 81 monthly and 185 quarterly submissions, along with numerous event-based or conditional filings triggered by workforce expansion, operational changes or new business activities. The breadth and frequency of these requirements create significant oversight challenges, requiring robust monitoring systems to prevent regulatory lapses and ensure operational continuity.
The study notes that GCCs are heavily concentrated in digitisation-led sectors such as technology services, banking and financial services, manufacturing, life sciences, and engineering. As these centres evolve into hubs for advanced digital capabilities, workforce composition is also shifting.
Salaries for the top ten digital roles including artificial intelligence, cybersecurity, and cloud computing are rising at an annual rate of 18–22%.
Cybersecurity and data engineering roles remain foundational to GCC operations, while mid-tier positions such as full-stack development, API integration, and DevOps are stabilising as digital architectures and enterprise operating models mature.
Labour and employment regulations account for the largest share of compliance exposure. The report identifies 151 obligations related to workforce records, registers, welfare provisions, and workplace conditions. Of the 90 central and state provisions that allow for imprisonment, 60 are linked to labour statutes.
Geography also plays a role in shaping compliance outcomes. Karnataka, a major GCC hub, recently introduced the Employers’ Compliance Decriminalisation Bill in its 2025–26 state budget, replacing criminal penalties for certain compliance violations with monetary fines or civil actions.
Rishi Agrawal, Co-founder and CEO of TeamLease RegTech, said GCCs must transition from manual compliance processes to technology-driven systems that embed regulatory oversight into operations.
As India strengthens its position as a global GCC destination, experts say integrating compliance into organisational processes will be critical to sustaining growth, enhancing investor confidence and supporting the next phase of capability expansion.