Getting employed is easy, but getting employed in an established company should be counted. A study by CIEL HR Services reveals a good number of employees in startups are looking to move to established firms. To be very specific, about 67% of such employees prefer to shift to such companies where they can enjoy stability and get benefits of working for larger as well as more established companies. The primary reason is job security.
Around 40% of the respondents expressed concerns about job security in new companies. Another 30% cited better pay as well as financial stability as major factors as larger companies often provide more reliable financial benefits. About 25% of respondents mentioned that startups often struggle to provide a good work-life balance.
The CIEL HR report highlights a high attrition rate in the startup sector. Employees typically stay only about two or three years in the startups. High turnover is a significant issue for the startups and they need to focus on retaining talent.
CIEL HR Services Managing Director and CEO Aditya Narayan Mishra emphasized the importance of startups in driving innovation as well as creating jobs. However, he simultaneously pointed out the need for the startups to improve their employee retention strategies.
Mishra suggested that startups should offer better value propositions such as career advancement opportunities and improved work-life balance. This will help in retaining their employees.
However, the future for startups seems promising. The report further reveals that 65% of the startups have plans to increase hiring in the coming months. This will enhance demand for experienced professionals as well as newcomers. Their primary roles would include software development, sales and retail.
