Friday, November 27, 2015

Flush Indian Startups Face Shortage of Skilled Workers

David Jara

“Flush Indian Startups Face Shortage of Skilled Workers”

November 8, 2015
Indian start-up companies are competing for more than market share.  The real battle is for talented Indian programmers and startups are pulling out all the stops.  Since 2010, the number of Indian based startups has almost quadrupled as the venture capitalist money has poured in.  Many of these startups are tech based companies and require highly skilled coders to help support their e-commerce sites.  However, it has been difficult to retain personnel with the advanced programming skills needed.  So companies are paying up.  For example, in 2012 salaries for entry level programmers was around $25,000.  Now someone with the same skill set can earn upwards of $45,000.  More seasoned programmers went from making roughly $100,000 in 2012 to now over $200,000.  Indian based startups are also looking outside of their country for top tier talent; especially at the executive level.  Yahoo, Motorola Mobility, and Google have all lost people to the Indian startup craze.
One other interesting aspect of this article was how companies are getting more creative with compensation.  Companies are offering fringe benefits. Start-ups flush with money from foreign investors are offering incentives such as free rides to work, free lunch, quality laptops and smart phones, and gym memberships. 

  I think this article is a good example of what companies often have to do when looking to staff themselves with the right people.  Often times they can look for local nationals but if the talent pool is limited they may need to go outside of their country.  Also, this article shows that to attract the right people it can take more than a competitive salary.  


  1. This is a really interesting article! Many people look to the U.S. as the country to flock to for job opportunities. It will be very interesting to see how the job market will evolve in the future.

  2. David, I really enjoyed reading your article. As we just finished doing our group project on India, I understand why so many people are interested in the development of Indian Startups. There economy is going through the roof right now as it is now the fastest growing economy just pasting China in this last quarter and the IT sector is one of the countries strongest assets. Although much of the countries still doesn't have access to the internet, they are still know as one of the top IT sectors in the world showing that there is no where to go but up and all the big companies are making moves to get into the mix. For example, Facebook, Twitter, Google, Amazon, and Uber are just a few names that are launching major projects in India because of how fast their economy is growing. There is no wonder why they are looking to hire people from outside of the country and many will be willing to make that move as well.

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