The COVID-19 pandemic and ensuing lockdown has impacted many businesses, and the worst hit have been startups that are struggling to keep operations running. Around 70% of startups in India have been impacted by the pandemic, according to a recent survey. Additionally, 68% of startups have cut down their operational and administrative expenses.
The pandemic got startups to rethink their strategies both from a business and employee management perspective. But nine months into the pandemic, the startup ecosystem is beginning to get back on its feet, showing signs of recovery.
RazorpayX, the neobanking arm of Razorpay used ground-level data to analyse and uncover insights about the impact of COVID-19 on several aspects of payroll in the startup ecosystem.
Payroll is a company’s biggest line item, its single biggest expense. These insights are developed based on salaries and reimbursements made by startups on the RazorpayX Payroll Platform (Opfin) between April and November 2020.