How Is The Startup Hiring Trend Evolving In Times Of A Downturn?

The funding winter has dealt a severe blow to job seekers and young professionals hoping to benefit from the quickly expanding and flourishing startup ecosystem. While earlier startups were rapidly hiring employees, the time has come for the layoff cycle to begin at the same rate. Does this, however, imply that professionals and recent graduates should put their startup dreams on hold and continue down the traditional cobblestone path? The answer is NO. 

According to leading market analysts, this is only a temporary hiccup.  In fact, many businesses are already hiring, albeit not as aggressively as before. There are still plenty of opportunities for job seekers to take advantage of. However, it is critical to understand the current situation and how young professionals can seek assistance from trustworthy platforms. 

What Is the Current Situation? 

It is true that, when compared to last year, startup funding, growth, and strategies have taken a significant hit. This negative graph is the result of several factors. The primary ones, however, are global inflation, the invasion of Ukraine, and the pandemic. According to recent reports, 39 startups, including unicorns, have laid off a total of 12,058 workers.  The impact of startup funding, however, is not limited to the Indian ecosystem. According to the Layoffs.fyi report, 20,514 employees have lost their jobs at tech startups worldwide since April, with the United States leading the way. 

According to leading industry experts, the funding shortage will subside as the environmental factors that encourage it diminish, which will happen eventually. They do, however, agree that during the initial pandemic days, startups hired aggressively, resulting in massive cash burns and inefficiencies in workforce capital management. As a result, they must now streamline operations, restructure teams, consolidate operations, and use funds wisely and effectively. 

Several major venture capital firms have already instructed startups under their wing to cut costs and increase runways in order to survive these difficult times. Things like bloated spending on unnecessary measures will be eliminated from the equation as the Indian startup ecosystem matures. As the immediate negative factors fade, talent demand will likely outnumber layoffs with significantly more hiring.  

Will Startups Continue To Attract Professionals?

Several industry insiders and experts have stated that, despite the current funding crunch, the industry will continue to be appealing to job seekers, founders, consultants, and hiring experts.  This is primarily because the startup ecosystem provides upcoming entrepreneurs with unique wealth creation opportunities, intellectual stimulation, and vast learning and growth opportunities. 

However, high-end salaries will fall to more realistic levels. In addition, the overheated startup hiring market will cool off.  While talent will continue to attract recruiters and command high salaries, other job seekers will face tampering. Despite this, startups remain one of the most profitable industries for modern job seekers and professionals. 

How Is The Startup Hiring Trend Evolving? 

Digital marketing, programming languages (IT Python), cloud computing, and DevOps have grown in popularity across all industries, from multinationals to startups.  Furthermore, job profiles/positions such as Data Scientist, Cloud Architect, and Blockchain Engineer are at the top of recruiters’ and companies’ lists. Even in these difficult times, there is a high demand for qualified employees. 

Furthermore, because hiring practices have evolved significantly in recent years, new hires are seeking clarity on factors such as the organisation’s reliance on external funding. They are looking beyond paychecks and recognise that the startup sector offers an unrivalled opportunity to learn the ins and outs of entrepreneurial know-how. 

What Should Job Seekers Do?

First and foremost, upskill and reskill yourself. Job opportunities will never run out if you have the right skill sets. According to the Korn Ferry report, more than 85 Mn job roles will likely be unfilled by 2030 due to a lack of skilled workers. To stay at the top of the recruiter’s list, job seekers must keep their skill set sharp. 

The second most important thing is to tailor your CV to the job position. Understand that every day, millions of people send their resumes to recruiters. They spend 6 to 10 seconds scanning it on average.  So, an ideal CV should ensure that the recruiter can quickly assess keywords such as job experience, accomplishments, and previous employers without having to wade through unnecessary drama or words. 

The third and most important step is to apply for the appropriate job role in a growing industry. Sectors such as IT, BFSI, construction, recruitment, and shipping are currently actively seeking skilled candidates.  

Consider applying for a job in an industry that is experiencing a decline in job opportunities. Remember that your skills and experience are transferable if you market yourself properly. Continue to diversify your skills and knowledge so that you can apply them to other industries as needed. 

Do Job And Recruitment Portals Help? 

Leading recruitment and online job portals are making plans to collaborate with top-tier startups to ease recruitment and connect a talented workforce with the right organisation. 

Given their extensive knowledge of the recruitment ecosystem and understanding of what the segment requires, these portals are the ideal medium for bringing the entrepreneurial universe out of hibernation by filling jobs with the right people.  

For instance, a leading job search platform claims to offer startups and SMEs customised low-cost packages that give them access to a large database of active candidates.  The platform effectively connects the right talent and job roles by bridging the gap between startups and job seekers. 

Summing Up

Ups and downs are the way of life and business both. These challenges and obstacles will pass, but only with the right strategies and resources. Entrepreneurs, founders, and investors are already aware of the bizarre hiring practices of the past. Hiring patterns will continue to change in the future. However, there will be a steady demand for talented people. 

While the startup ecosystem is currently experiencing tight budgets, it is still a segment with enormous promises and growth potential. Job seekers should concentrate on improving their resumes and applying for relevant job opportunities. Use reputable job boards to help you land your dream job at a cutting-edge progressive startup. The startup winter will soon be a thing of the past.