India Today Education Desk: A report by LONGHOUSE Consulting, an executive search and talent advisory firm, finds that the Indian startup ecosystem is seeing a drop in hiring for senior positions with CTCs above Rs 50 lakh per year.
Employment for these high-paying jobs will drop by about 80% in the first quarter of 2023, according to the report, continuing a downward trend in hiring amid a fundraising winter.
The hardest hit were the e-commerce and edtech sectors, where employment plummeted by 93% and 84% respectively. However, while early-stage and pre-series A startups are expected to continue hiring, growth- and late-stage startups are projected to continue to suffer in the fundraising winter.
Recruitment Scenario for Indian Startups
Anshuman Das, CEO and founder of LONGHOUSE Consulting, predicted that the adoption scenario in the startup ecosystem in the first quarter will be similar in the next two quarters. Senior positions with high paying jobs are expected to face continued losses.
Series A and B level early stage start-ups in the EV, healthcare, AI/ML, fintech and manufacturing sectors are expected to see an increase in hiring, with some roles opening up for senior positions. .
In the face of the current slowdown, India’s startup ecosystem is seeing experienced entrepreneurs launching second or third ventures and experienced executives switching to entrepreneurship. There is likely to be. Das believes the current startup slowdown will stimulate more entrepreneurship than it will hurt it.
Impact of funding slowdown
India’s startup ecosystem has raised a total of $2.8 billion in the first quarter of 2023, according to a report. This is a 75% decrease compared to the same period last year.
Rising inflation and interest rates are having a major impact on investing in the startup ecosystem as the fundraising winter deepens.
Additionally, a recent report from Tracxn, the world’s leading market intelligence platform, found that 14 unicorns were born in the first quarter of 2022, compared to 10 new unicorns created between January and March. There were no unicorns.
(with agency input)
