After layoffs and hiring freezes at Big Tech, startups in America are saving the day by taking steps to hire those affected including unemployed people who have experience but has no Big Tech company to hire them and engineers and project managers affected by the economic slowdown.
As long as these start-ups have stable cash flows, they can afford to pay high wages to attract talent who would otherwise prefer to work for large technology companies, despite a slowdown in startup funding due to decades of high inflation, a stronger dollar, and massive interest-rate hikes that have prompted big tech to rein in its spending spree.
According to recruitment firm A.Team and startup consultant MassChallenge, a survey of 581 executives, almost exclusively from U.S. tech startups, found that more than 40% of them increased their hiring plans in the first half of 2022.
One such example is Stack Overflow, whose CEO, Prashanth Chandrasekar, said that the programming platform’s workforce more than doubled this year to 540, with some of the new hires coming from Big Tech firms like Google and Apple.
Deepak Rao, CEO of X1 Card, also stated that the company’s headcount had more than doubled in a year to 35 and that more employees from larger companies would be added in the coming months.
The sources for this piece include an article in Reuters.
