Chennai: A study conducted by CIEL HR Services said that about 67 per cent of employees working in startups prefer to go to established companies due to job security, better salaries and financial stability.
The report also revealed that the startup sector is facing seriously high attrition rates, with an average tenure of 2-3 years.
Some key findings conducted by city-based HR solutions provider CIEL HR Services indicate that a secure job ranks high on the list of concerns for employees in the startup sector, with 40 per cent of respondents expressing "discomfort".
Similarly, 30 per cent of participants commented that the promise of better PA was another factor in moving towards established firms, as it ensures financial stability.
Nearly 25 per cent of candidates also cited lack of work-life balance in startups as a factor in their decision to join prestigious companies.Commenting on the CIEL Works-Startups Report 2024, Aditya Narayan Mishra, Managing Director and CEO, CIEL HR Services, said, “Startups play a vital role as catalysts for growth, fostering innovation and generating employment across sectors. "65 percent of companies are planning." With hiring ramping up in the coming months, the future of the startup ecosystem looks promising.”
However, Mishra cautioned that startups need to prioritize employee retention and provide comprehensive value propositions that prioritize employee well-being, career advancement and work-life balance.
“This will help employees regain confidence in startups and reduce attrition,” he said.,
This report is based on data and analysis of 1,30,896 employees of 7 startups in the country.
Some other key findings included software development roles being the most in-demand, accounting for 18 percent of job requirements in the startup sector, followed by sales, pre-sales, retail and enterprise sales.
The report also indicated that there has been strong demand for opportunities for experienced professionals and newcomers in the startup sector.
Startups with more employees and good HR practices are implementing various initiatives to overcome high attrition rates, such as offering attractive compensation packages, adopting remote-first policies and providing robust employee stock option plans, etc.
The report also revealed that the startup sector is facing seriously high attrition rates, with an average tenure of 2-3 years.
Some key findings conducted by city-based HR solutions provider CIEL HR Services indicate that a secure job ranks high on the list of concerns for employees in the startup sector, with 40 per cent of respondents expressing "discomfort".
Similarly, 30 per cent of participants commented that the promise of better PA was another factor in moving towards established firms, as it ensures financial stability.
Nearly 25 per cent of candidates also cited lack of work-life balance in startups as a factor in their decision to join prestigious companies.Commenting on the CIEL Works-Startups Report 2024, Aditya Narayan Mishra, Managing Director and CEO, CIEL HR Services, said, “Startups play a vital role as catalysts for growth, fostering innovation and generating employment across sectors. "65 percent of companies are planning." With hiring ramping up in the coming months, the future of the startup ecosystem looks promising.”
However, Mishra cautioned that startups need to prioritize employee retention and provide comprehensive value propositions that prioritize employee well-being, career advancement and work-life balance.
“This will help employees regain confidence in startups and reduce attrition,” he said.,
This report is based on data and analysis of 1,30,896 employees of 7 startups in the country.
Some other key findings included software development roles being the most in-demand, accounting for 18 percent of job requirements in the startup sector, followed by sales, pre-sales, retail and enterprise sales.
The report also indicated that there has been strong demand for opportunities for experienced professionals and newcomers in the startup sector.
Startups with more employees and good HR practices are implementing various initiatives to overcome high attrition rates, such as offering attractive compensation packages, adopting remote-first policies and providing robust employee stock option plans, etc.