As global campuses land, a churn may sweep India's academic talent pool

India’s higher education sector is likely to see heightened competition for faculty as foreign universities establish campuses in the country, a shift expected to place upward pressure on salaries, even as the system continues to face a structural shortage of teaching staff, according to industry executives and consultants.

 

The sector currently has around 43 million students and approximately 1.6 million faculty members, translating to a student–faculty ratio of about 27:1, above the benchmark of 20:1, indicating a shortfall of nearly 600,000 faculty, or roughly 26 per cent, said Avantika Tomar, partner and learning & development (L &D) head at EY-Parthenon India, citing the All India Survey on Higher Education (AISHE) 2021-22. The University Grants Commission’s (UGC’s) Deemed University Regulations, 2023, prescribe a minimum ratio of 1:20 as a benchmark for academic capacity.

 

Against this backdrop, foreign university campuses are expected to create 400-450 new faculty roles over the next two to three years, with numbers projected to rise to 13,000-15,000 by 2035 as enrolments expand. These institutions are likely to operate with a lower student-faculty ratio of around 15:1, implying higher faculty intensity.

 

“Typically, 20-30 per cent of this will be foreign faculty, including expatriate Indians, while the remaining positions are expected to be filled through local hiring,” Tomar said.

 

The entry of foreign universities is expected to increase demand for faculty, particularly in specialised and industry-aligned disciplines. “Entry of foreign universities will increase demand for high-quality faculty, potentially driving up compensation,” said Ashish Gupta, co-founder and chief executive officer of EdNex Global, adding that India already faces a 30-35 per cent shortage in higher education faculty.

 

Foreign institutions are expected to offer competitive pay packages to attract talent. Compensation levels could align with those at leading private Indian institutions such as Ashoka University, Plaksha University and Krea University, with potential premiums of 30-40 per cent over top public institutes such as Indian Institutes of Technology (IITs) and Indian Institutes of Management (IIMs). Foreign faculty may command additional premiums, Tomar noted.

 

The UGC’s 2023 regulations allowing foreign universities to set up fully autonomous campuses have enabled their entry into India. So far, Deakin University and the University of Wollongong in GIFT City, along with the University of Southampton in Gurugram, have become operational, while more institutions are expected to roll out programmes in the coming academic cycles.  

 

Public institutions may see limited immediate impact on salaries, as compensation is governed by Central Pay Commission structures. The eighth Pay Commission, constituted in November 2025, is expected to review pay scales, with typical increases in the range of 15-30 per cent, Tomar said, adding that these revisions are largely driven by macroeconomic factors.

 

Executives note that compensation structures are also evolving beyond fixed pay. “As the ecosystem evolves, faculty compensation is expected to become more structured and competitive, particularly for professionals with strong academic and industry backgrounds,” said Ranjita Raman, chief executive officer of Jaro Education. Institutions are increasingly offering research opportunities, industry integration and global collaboration.

 

“There continues to be a gap between faculty salaries in Indian institutions and those at global campuses abroad, driven by differences in funding, research infrastructure and overall market maturity,” Raman said. “However, foreign university campuses in India could help narrow this gap to some extent by introducing more globally aligned compensation structures and a stronger overall value proposition.”

 

India’s higher education system has been expanding steadily, with rising enrolments and increasing demand for quality institutions across disciplines. At the same time, ensuring adequate faculty strength remains a key challenge, particularly as institutions seek to maintain academic standards and meet regulatory norms.

 

Early signs of hiring activity are emerging in fields such as management, economics, data science, AI and adjacent technology domains. “Faculty from these disciplines will see increased demand and may also see a rise in pay,” Tomar said, adding that hiring is currently focused on returning Indian-origin and foreign faculty, and is expected to gradually shift towards local talent.

 

“This may lead to more competition among universities for the best faculty, which may then have to be paid higher salaries,” said Sudhir Kr Pandey, director of international admissions and outreach at Noida International University. He added that this could also encourage institutions to invest in faculty development and collaborations, potentially improving academic standards. 

Faculty flux

• India faces 600,000 faculty shortfall amid rising student enrolments
• Foreign campuses likely to create 400–450 faculty roles in 2-3 years, scaling to 13,000-15,000 by 2035
• Leaner classroom ratios expected to push demand for more faculty
• Salaries may rise as institutions compete for specialised academic talent
• Public institutions may see limited impact due to regulated pay structures