Outlook Business Desk
Today’s Gen Z folks in India are increasingly rejecting metro life of metropolitans like Mumbai, Delhi, and Bengaluru. These cities, once seen as definitive pathways to success, now feel unsustainable, while smaller cities are gaining in appeal among youngsters.
The high cost of living in metro cities, especially rent, along with long daily commutes, overcrowded public spaces, and the lack of personal time is pushing many Gen Z professionals to reconsider city life. For them, the emotional and mental toll of surviving in metros outweighs the benefits. They now prioritise well-being, balance, and comfort over the big-city hustle.
Tier-2 and Tier-3 cities such as Jaipur, Coimbatore, Lucknow, and Guwahati are becoming attractive alternatives to metros. They offer less crowd, affordable lifestyles, and a more relaxed way of living that appeals to Gen Z professionals.
According to leading staffing firms like Quess, Randstad, and TeamLease, hiring in Tier-2 and Tier-3 cities has jumped by 20% to 100%. In contrast, metro cities are witnessing a decline in hiring—Mumbai and Delhi saw drops, while Bengaluru recorded a 17% fall year-on-year.
E-commerce firms like Amazon, Flipkart, Zepto, and Swiggy are expanding beyond metros into Tier-2 and Tier-3 cities. Amazon alone is setting up 30+ delivery stations in towns like Mohali and Indore to tap growing demand for fashion, jewellery, electronics, and watches. The move is creating jobs and fuelling fresh demand in high-potential markets across smaller towns.
Beyond e-commerce, players like Reliance Retail, Haier, V-Mart, and Havells are entering smaller cities to tap into new consumer bases. Even banks and fintech firms like HDFC Bank, Paytm, and Axis Bank are actively hiring in Tier-2 and Tier-3 towns, fuelling India’s next wave of urban growth.
LinkedIn’s “Cities on the Rise” report highlights Visakhapatnam, Rajkot, Madurai, and Nashik as new industry hubs. These cities are witnessing fast growth across sectors like IT, manufacturing, logistics, and pharma—attracting professionals looking to build stable careers outside the pressure zones of metros.
Gen Z isn’t giving up on ambition—they’re redefining it. By choosing Tier-2 and Tier-3 cities, they’re rewriting India’s growth story—one that values balance, belonging, and new beginnings beyond the metros.