Among startups, there is a “notable shift” in the way they are scaling in India, Foundit chief executive V Suresh said. “Growth is no longer confined to major metropolitan areas; instead, we are witnessing a robust expansion into tier-2 cities, signalling a more balanced and inclusive model of growth,” he said. “At the same time, there is an increasing emphasis on recruiting seasoned professionals, reflecting a strategic focus on long-term sustainability. Together, these trends point to a more deliberate, future-oriented approach that prioritises sustainable growth and lasting impact over rapid, short-term expansion.”
Startup hiring, as indicated by job postings on the Foundit platform, rose 32% on year in April and 12% over the last three months, pointing to strong hiring confidence in the sector. This hiring momentum is reinforced by a 22% increase in new startup registrations from a year earlier, reflecting sustained entrepreneurial drive and investor confidence in India’s innovation landscape.
The data show that IT services now account for 32% of all startup job postings—up from 23% last year—while healthcare has grown to 9% from 6%, signalling increased focus on deep-tech and health-focused solutions. In contrast, consumer-centric sectors like media and entertainment and edtech have seen steady declines.
Tier-2 cities are fast emerging as major startup hubs, with their job share surging to 31% last month from 9% in April 2024. This rise signals a decisive shift in India’s startup geography, led by Coimbatore, Jaipur, Indore, Lucknow and Bhubaneswar, according to jobs tracker.Bengaluru, Delhi-NCR, and Mumbai recorded steep declines in startup job share, while Chennai and Hyderabad held steady, highlighting a clear move towards more distributed, pan-India startup growth.Startups are increasingly prioritising experience, as evidenced by a decline in fresher hiring (0-3 years’ experience) to 41% from 53% a year earlier. This shift reflects a growing demand for specialised skills across all levels, with roles for mid-career professionals rising 28% for executives with experience of 4-6 years and 15% for those with 7-10 years of experience.
Demand for senior professionals — experience of 11-15 years and 15+ years — is also growing, making up 11% and 5% of the job postings, signalling a need for leadership and strategic expertise.