At a recent meeting held by the All IIT Placement Committee in Mumbai, the committee decided to blacklist six startups. The names of the startups have not been disclosed.
These startups will be barred from hiring IITians in 2016-17 but will be allowed to visit the campuses, after appearing before the placement committee.
Adding to this, five startups who decided to slash down salaries from the promised packages will also be blacklisted. The companies have been given a week’s time to respond.
This move has come after Flipkart deferred the joining date of IITians by six months. However, the e-commerce company has not been blacklisted as it offered an alternative option for these students. They can now intern in startups like logistics firm Rivigo and GreyOrange, a robotics company. It will be a paid internship of Rs 50,000 per month with initial accommodation and signing bonus. The students will also have the option of continuing at the startup or join Flipkart.
IIT's decision, though has brought a relief to the students, it will definitely now create an uncertainity over startup jobs. Moreover, with valuation markdowns and funding slowdown, startups too might need to think twice before offering a lucrative package next time.