• 89% of companies hiring globally are seeking advanced tech and engineering talent
  • 76% say compliance and fragmented workforce operations, not cost, are the biggest barriers to scaling globally

INDIA, 12 August – Indian businesses are looking well beyond their borders to fuel growth, according to a new survey by Deel, which finds that 77% of Indian companies plan to increase global hiring over the next 12-18 months. The research signals a shift in how Indian organisations are building and structuring their workforces, as access to specialised talent, proximity to customers, and round-the-clock operations emerge as the leading drivers of international expansion.

The survey of 1,008 senior decision-makers and HR leaders across seven major Indian cities finds that global hiring is no longer a fringe strategy but a mainstream one. More than half (54%) of companies already have more than a quarter of their workforce based outside India. Additionally, more than half (58%) of companies operate in four or more countries, with nearly 20% already operating across more than 10 countries.

Specialised talent, not cost, is fuelling global expansion

34% of respondents cite access to specialised or emerging skills as their top reason for hiring globally, followed by 33% who hire to be closer to customers and local markets, and 20% who cite the ability to run 24/7 operations. The findings underscore that for Indian companies, going global is a talent and market-access strategy, not a cost play.

Global hiring is heavily concentrated in technology roles:

Companies expanding overseas are looking to fill the skills gap and also revenue-critical roles. Nearly nine in ten (89%) of companies hiring globally are looking for advanced technology and engineering talent, such as core developers, AI/ML specialists, and R&D professionals. This is followed by sales and business development (80%) and product and design (45%).

North America remains the top destination for Indian companies’ global workforces, cited by 36% of respondents, ahead of Europe/UK (27%) and APAC (21%). This suggests employers are willing to pay more to hire the right talent from high-income economies for roles that directly influence roadmap and revenue.

“India’s economic momentum, maturing startup ecosystem, thriving digital economy, and increasingly supportive policy environment are giving Indian companies the confidence to build globally, not just serve global clients from India. The winners will be those treating international expansion as a core growth strategy – backed by the right talent, technology, and compliance foundations. In the next few years, India’s most ambitious companies will be measured not just by revenue growth, but by its global footprint,” said Rakesh Gaur, Head of Sales for India at Deel.

Compliance, not cost, is the biggest barrier to scaling globally

As Indian companies expand their international footprint, compliance has emerged as the biggest obstacle to scaling. Three quarters (76%) of respondents cite compliance and administrative burden, not the cost of expansion, as their primary challenge. This includes navigating global payroll, local tax laws, statutory benefits, and risks such as misclassification and permanent establishment.

The impact is already being felt: One in three (36%) of companies report moderate or significant disruption to their expansion plans due to compliance issues, and only one in ten (10%) say they are highly confident their global HR and payroll setup is fully compliant.

Compliance delays are already impacting business performance

The impact of compliance challenges extends well beyond HR and legal teams. Among companies that experienced delays in their global expansion, the biggest causes were local entity setup taking longer than expected (42%), followed by visa, immigration or work permit delays (31%), payroll, tax or statutory filing errors (27%), and internal system or process gaps caused by manual or disconnected tools (25%).

The business consequences are significant. Seven in ten (70%) companies say compliance-related delays pushed back a product or market launch, while 67% report strain on leadership time, team morale or company reputation. Nearly six in ten (59%) experienced delayed revenue because new hires were not productive on time, 49% lost or delayed a deal, contract or project, and 38% incurred additional legal, remediation or unplanned costs. Only 20% say the delays had no measurable financial impact.

Fragmented operations are slowing global growth

Workforce operations also remain fragmented. Nearly half (46%) of companies use a central HR system but still manage global payroll manually, and 44% juggle between two to five separate HR or workforce platforms to manage their international teams.

Rakesh adds, “Indian companies want to scale globally, but managing compliance across fragmented systems isn’t just inefficient – it’s a compliance liability. The ones that win will consolidate their operations onto a platform built for global growth.”

EOR adoption is becoming the default route to global expansion

Against this backdrop of rising complexity, Employer of Record (EOR) solutions are emerging as the default strategy for Indian companies scaling internationally. 34% of companies already use an EOR model, while another 24% use a mix of employment models, combining EOR, contractors, and owned entities, depending on the country and role.

Among companies already using an EOR, the benefits are clear: 40% say it saves them both time and cost, and a further 35% say it primarily saves time.


About the Research

The survey was conducted among 1,008 senior decision-makers directly involved in global hiring, expansion, and workforce strategy across seven Indian cities — Delhi/NCR, Mumbai, Bengaluru, Chennai, Hyderabad, Pune, and Kochi — spanning sectors including IT, BFSI and fintech, telecom and technology services, healthcare, retail, education, media, entertainment & gaming, and professional services. The mobile/web-based survey used stratified sampling and comprised 15 questions.

About Deel

The way the world works has changed – and Deel has built the standard to power it all. We make it effortless to hire, manage, pay, and equip any worker, anywhere. Deel is one platform for payroll, HR, benefits, mobility, performance, and device management across 150 countries. Built on owned infrastructure, powered by AI, and supported by thousands of local experts, Deel helps businesses scale smarter, faster, and more compliantly. Trusted by 40,000+ customers, and created to become a global brand people love. Learn more at deel.com.

All findings in detail

Indian companies are building increasingly global workforces

  • 54% of companies have more than 25% of their workforce outside India.
  • The largest segment (34%) says 26-50% of their workforce is overseas.
  • Nearly 20% already operate across more than 10 countries.

Global hiring is no longer employee-only

  • Only 4% rely entirely on full-time employees.
  • Nearly 33% primarily hire employees (approx. 75% full-time employees / 25% contractors).
  • Another 33% maintain an almost even mix of employees and contractors (approx. 50/50).
  • Around 31% lean heavily (75%) or entirely (100%) toward contractors.

North America remains the biggest global talent destination

  • 36% have their largest workforce in North America (US/Canada).
  • 27% cite Europe/UK.
  • 21% say APAC.

Access to skills, is driving international hiring Top reasons for hiring globally:

  • 34% – Access specialised or emerging skills
  • 33% – Be closer to customers and local markets
  • 20% – Enable 24/7 operations
  • Just 5% cite lower costs as the primary reason.

Advanced technology talent dominates hiring plans Companies hiring globally are primarily looking for:

  • 89% – Advanced Technology & Engineering (Core Developers, AI/ML, R&D, Hardware, etc.)
  • 80% – Sales/Business Development/Customer Success
  • 45% – Product & Design
  • 32% – Operations & Supply Chain

AI skills remain a challenge

  • 57% believe they have sufficient AI skills.
  • 43% say they do not.

Global hiring is expected to continue growing

  • 44% expect hiring to increase slightly (1–20% growth).
  • 30% expect moderate growth (21–50% growth).
  • Only 1% anticipate a significant decline.

Employer of Record (EOR) adoption is becoming mainstream Default expansion strategy:

  • 34% use an Employer of Record (EOR).
  • 24% use a mix of employment models (EOR, contractors, entities) depending on country and role requirements.
  • 20% hire contractors directly.
  • 18% establish local entities.

EOR users report clear business benefits Among EOR users:

  • 40% say it saves both time and costs.
  • 35% say it primarily saves time, not costs.
  • Only 8% report no meaningful benefit.

Compliance remains a major concern Confidence levels:

  • Only 10% are highly confident their global HR/payroll setup is fully compliant.
  • 45% are somewhat confident.
  • Around 12% feel anxious about compliance.

Compliance — not cost — is the biggest barrier to scaling globally Top bottlenecks:

  • 40% – Administrative burden and managing day-to-day cross-border compliance (e.g., global payroll, local taxes, statutory labor laws, and benefits).
  • 36% – Compliance challenges (e.g., misclassification, permanent establishment, aggregator model risk, and IP ownership issues).
  • 24% – Cost and time of establishing entities.

Compliance issues are already affecting expansion

  • 36% have experienced moderate or significant disruption.
  • 43% report ongoing minor friction.
  • Only 18% say they have experienced no meaningful impact.

Compliance delays are already impacting business performance

Among companies that experienced delays in their global expansion:

The biggest causes were:

  • 42% – Local entity setup taking longer than expected.
  • 31% – Visa, immigration or work permit delays.
  • 27% – Payroll, tax or statutory filing errors.
  • 25% – Internal system or process gaps caused by manual or disconnected tools.
  • 22% – Permanent establishment (PE) risk triggered by local activity.

The business impact was significant:

  • 70% delayed a product or market launch.
  • 67% reported strain on leadership time, team morale or company reputation.
  • 59% experienced delayed revenue because new hires were not productive on time.
  • 49% lost or delayed a deal, contract or project.
  • 38% incurred additional legal, remediation or unplanned costs
  • Only 20% said the delays had no measurable financial impact.

HR operations remain fragmented

  • 46% use a central HR system but still manage global payroll manually.
  • 35% have a unified global HR/EOR platform.
  • 18% still rely on fragmented local systems.

Most companies juggle multiple HR tools

  • 44% use 2–5 HR/workforce platforms.
  • 32% use 6–10.
  • Only 17% manage with one platform or less.

AI adoption in HR is accelerating

  • 38% already use AI in selected HR functions.
  • 24% are integrating AI broadly.
  • 28% are piloting AI.
  • Only 6% are not using AI at all.

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