“If you’re only hiring from metros, you’re missing the bigger picture – Tier-II cities and its talent.”
A quiet revolution is underway, not in the dazzling towers of Bengaluru or the buzzing tech parks of Hyderabad, but in the calm corridors of India’s smaller, lesser-hyped cities. The kind of places where ambition is stitched into the daily rhythm of life. Think Kochi, Coimbatore, Ahmedabad, Thiruvananthapuram, Vadodara, and Kolkata, names that once echoed affordability, but now ring with potential.
These Tier-II cities are no longer just satellite stations to metro giants. They’re emerging as thriving hubs of skilled minds, digital ambition, and infrastructure evolution. For decades, Global Capability Centers (GCCs) planted roots in Tier-I cities. But with only 7% in Tier-II locations, India’s a new wave is coming, one that’s as necessary as it is overdue.
Major companies like Kraft Heinz, Flex, Diageo, and Calsoft are now betting big on these new-age talent oases. Why? Because the pandemic changed everything. The remote work wave shattered long-held beliefs that productivity lives only in the metros. People went home, and surprisingly, they thrived — mentally, emotionally, and professionally.
This isn’t just a temporary adjustment, it’s a lasting awakening. Over 60% of India’s graduates live outside the big cities. So why force them to migrate? Why not build where they already are?
These cities are youthful, vibrant, and hungry to prove themselves. They’re producing thousands of engineering and IT professionals each year, and digital talent in Tier-II cities has surged over 25% in just two years, according to recent reports.
What’s more? Companies are noticing lower attrition up to 30% less than their metro counterparts, thanks to stronger local ties, shorter commutes, and better lifestyles. Financially too, the shift makes sense. Businesses can reduce operational costs by up to 30%, without cutting corners on quality.
Policy makers are catching up too. The latest budget prioritizes spreading the GCC ecosystem with key incentives in infrastructure, regulations, funding, and education. From Bhubaneswar to Warangal, the blueprint is clear: grow from within.
And here’s the philosophical twist, the real question isn’t “Why now?” but “Why not already?”
As Tier-I cities creak under the pressure of high costs and talent fatigue, the smart money and vision is flowing towards sustainable, scalable Tier-II powerhouses.
The talent is ready. The ecosystem is maturing. All it needs is foresight.
Also read: Viksit Workforce for a Viksit Bharat
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