New Delhi: The news of Startup Layoffs is back. In the last couple of weeks, a number of startups have laid off a portion of their staff. The difference in this stage is the manner in which the founders are discussing it. In the past, layoffs used to be referred to as a brief period or a correction. Founders are this time employing more serious words.
A great number of startup leaders openly explain that the easy funding days are long gone. Shareholders are posing some difficult questions. They desire profits and not numbers of growth. Consequently, startups are reducing expenses to have more time to survive.
The employees are becoming nervous. Technological employees are becoming increasingly difficult to change employment, particularly freshers. In the past, when a single startup laid off employees, another one would get them almost immediately. At this point, the pace of recruitment has decelerated throughout the industry.
According to founders, they are targeting core teams. Non essential functions are being eliminated. Other startups are terminating unprofitable projects and investing in the money generating products exclusively.
It is not a complete bad change according to experts. It can bring healthier startups in the future. Those companies which manage to survive this time can get stronger and more disciplined.
