A New survey conducted by JobBuzz reveals that startups could be losing its “charm” as most employees surveyed said that they are ‘willing to switch into larger companies if possible’.

According to the findings of a JobBuzz survey of professionals working in different startups, a whopping 88% said they were ready to leave their current jobs in new ventures if offered jobs in larger and more established companies.

Only 12% respondents felt content in their current startup work profiles.

“They had the best of the best to choose from and once eagerly joined startups. But after a year or so, a majority of professionals seem desperate to leave for more established players,” points out the survey.

startup-593304_1920(1)

Over 750 professionals working in different new ventures across the startup hotbeds of Delhi, Bangalore, Hyderabad, Mumbai, Pune, Gurgaon, Delhi and Noida took part in the survey.

The survey findings seem to point towards an impending attrition problem that startups could face in the near future as they seek to scale.

HR leaders from large companies, speaking at various TimesJobs.com boardroom discussions, have said that startups pulling in talent has become a hiring challenge for them. But some also pointed towards increasing cases of burnout among employees as the new ventures scaled and thus the increasing urge to leave for established companies.

“Today’s talent is no longer lured by just fat paychecks. They are looking at long-term career growth and are careful when choosing their employers.Those joining startups must have that sense of passion and ownership to make the company grow. If they want to switch, as the survey shows, startups need to have a relook at their hiring strategy so they pick people who share the vision of the founders and feel themselves part of the company’s growth story,” says Vivek Madhukar, COO, TimesJobs.com.

What The Respondents Had To Say

When asked why they were thinking of quitting their startup jobs, 43% felt they would be able to draw higher salaries in established companies. But a significant 30% said it was due to the nature of their jobs in startups as they were unable to maintain work-life balance.

Interestingly, the fear of the startup not taking off properly and employees losing their jobs was not reported to be a major concern. Only 15% survey respondents admitted that they wanted to switch to an established company to seek better job security.

But dissatisfaction appears to have set in among employees who have been in these startups for at least one year and more. Nearly 65% of them said they would readily switch to an established player if they got the opportunity.

About 58% employees in IT, internet, dotcom, consulting and retail startups, who answered the JobBuzz.in survey, said they wanted to move to bigger companies. The discontent appears widespread among both junior and senior-level professionals, 75% of whom wanted to move to bigger companies.

However, Respondents Feel That Their Startup Stint Started Off With Passion

When asked why they took up a startup job in the first place, 54% said it was because of the thrill of working in a new venture. Only 23% had taken up the jobs for higher salary while 20% were looking for a flexible work culture – a major pull for Gen Y and Z today.

On the concerns they had before they joined startups, most survey respondents said it was the risk of the venture failing (63%) and the pressure of taking up multiple roles (29%).

7 comments

  • Yeah this is happening because of lack of discipline by founders. So many companies are facing a problem in successfully ruining and they are ruining for all.

  • I work for a startup and have good connect with employees across startups. One of the common pet peeve that I have heard is that founders are immature. I know a few startups wherein founders have a rule wherein mandatory 12 hour office timings!! This in today’s age. Clearly founders need to understand that employees and time and not money is their biggest asset.

  • Probably immaturity of the Founders and half knowledge on the process and policies. The moment you raise a concern, they will try to terminate the employment and without prior notice. Local labour laws thrown into air.The Founders feel that un-comfort ability, insecurity, exposure to outside world and competition coming on his way.

  • Immature founding leaders, who many a times act the way it scares people of their job security. Their expectations from employees are astronomically high! Lack of experience also reflects their poor emotional intelligence. Mostly half baked ideas and loss of direction and changing strategies from winning the world to surviving to struggling to find a buyer.
    Start ups have done well where founders are hands-on and do not believing and behaving like their typical titles, CEO, CTO, CXO..
    Interesting is that they even start behaving like their titles inside their teams and company. Here the fall is inevitable. I have witnessed all that as HR Manager with start ups! Wish sanity prevails and start ups do well, go global.

  • This is simply stupid survey and nonsense article to discourage new entrepreneurs & to demote Make In India.
    Simply disappointed.!

  • It’s normal and expected. Startups often attract employees who have some disillusion regarding what it “actually means” to work for a startup. They sometimes can’t come to terms with the fact that startup is a tough environment and “order takers” find co-founders immature, the hours too long etc..

    Not everyone is meant to work for a startup.

    I have often seen some startup employees confuse open work culture with low pressure. Startups are trying to turn water into wine..if co-founder maturity is desired, if folks want an easy life, they should go back to their IT services alternatives..:)

Newsletter

Hello World.

NextBigWhat brings you well curated wisdom, news and actionable insights.

In a world where algorithms are deciding what you read (and learn), we bring a holistic view on product and growth – curated by the experts, enabling you to learn from the knowledgable sources and save time in discovering them.