{"id":4431,"date":"2024-01-31T09:31:03","date_gmt":"2024-01-31T09:31:03","guid":{"rendered":"https:\/\/razorpay.com\/newsroom\/?p=4431"},"modified":"2024-01-31T09:31:07","modified_gmt":"2024-01-31T09:31:07","slug":"rising-trend-startups-embrace-outsourcing-firms-while-full-time-hiring-suffers-a-hit-by-17-23-razorpayx-payroll-insights","status":"publish","type":"post","link":"https:\/\/razorpay.com\/newsroom\/rising-trend-startups-embrace-outsourcing-firms-while-full-time-hiring-suffers-a-hit-by-17-23-razorpayx-payroll-insights\/","title":{"rendered":"Rising Trend: Startups Embrace Outsourcing Firms While Full-Time Hiring Suffers a Hit by 17.23%: RazorpayX Payroll Insights"},"content":{"rendered":"<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><i><span style=\"font-weight: 400;\">Hiring at the CXO level witnessed a decline of <\/span><\/i><span style=\"font-weight: 400;\">25% <\/span><i><span style=\"font-weight: 400;\">between April and December 2023<\/span><\/i><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><i><span style=\"font-weight: 400;\">Full-time female employee salaries surge by 9.13%, signaling forward momentum toward gender pay equity\u00a0<\/span><\/i><\/li>\n<\/ul>\n<p><b>INDIA, Bengaluru, 31 January 2024: <\/b><span style=\"font-weight: 400;\">In the dynamic landscape of 2023, the Indian startup ecosystem underwent a period of turbulence and transformation. Startups were deeply engaged in the <\/span><b>seamless integration of emerging technologies, adapting to revised regulatory frameworks<\/b><span style=\"font-weight: 400;\">, and <\/span><b>implementing innovative business models<\/b><span style=\"font-weight: 400;\"> to enhance efficiency and maintain a competitive edge within the industry. In the face of these challenges, <\/span><b>organizations exhibited strategic prowess<\/b> <b>by optimizing costs and reallocating resources to other critical business priorities<\/b><span style=\"font-weight: 400;\">. Concurrently, many organizations <\/span><b>strategically reinforced their workforce through targeted recruitment, demonstrating resilience<\/b><span style=\"font-weight: 400;\"> in navigating challenges.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">These industry dynamics and workforce strategies come to light <\/span><span style=\"font-weight: 400;\">in the movements experienced across the sector tracked <\/span><span style=\"font-weight: 400;\">by <\/span><a href=\"https:\/\/razorpay.com\/x\/current-accounts\/?utm_adgroup=&amp;amp;utm_gclid=Cj0KCQjwtrSLBhCLARIsACh6Rmjl3wOgP_X4yxpP94o6zOL_Wmjk2mCgUHKGkbH0_JkAnJCa1nCH-7IaAuVbEALw_wcB&amp;amp;utm_source=google&amp;amp;utm_medium=cpc&amp;amp;utm_campaign=GoogleSearch_RZPx_Brand_CA_24062021&amp;amp;utm_term=razorpayx&amp;amp;utm_content=text_1&amp;amp;hsa_kw=razorpayx&amp;amp;hsa_net=adwords&amp;amp;hsa_grp=129644320728&amp;amp;hsa_cam=13637925495&amp;amp;hsa_acc=9786800965&amp;amp;hsa_tgt=kwd-1007922725691&amp;amp;hsa_ver=3&amp;amp;hsa_ad=540411985364&amp;amp;hsa_mt=e&amp;amp;hsa_src=g&amp;amp;gclid=Cj0KCQjwtrSLBhCLARIsACh6Rmjl3wOgP_X4yxpP94o6zOL_Wmjk2mCgUHKGkbH0_JkAnJCa1nCH-7IaAuVbEALw_wcB\"><b>RazorpayX Payroll<\/b><span style=\"font-weight: 400;\">,<\/span><\/a> <span style=\"font-weight: 400;\">the business banking platform of Razorpay. The platform analyzed <\/span><b>payroll data of 30,000+ employees, across 20+ sectors <\/b><span style=\"font-weight: 400;\">currently using RazorpayX Payroll, <\/span><b>fro<\/b><b>m April <\/b><b>to December 2023<\/b><span style=\"font-weight: 400;\">. These Insights delve into the transformations within the organizational ecosystem, marked by increased adoption of outsourcing firms, changes in the salary distributions &amp; hiring patterns, and department-wise demand over the past 9 months.<\/span><\/p>\n<p><b>Key insights include:<\/b><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>An Upswing in the Demand for Outsourcing Firms for Hiring Contractors<\/b><b>: <\/b><span style=\"font-weight: 400;\">While hiring for full-time employees slowed down in the past 9 months, the demand for outsourcing companies witnessed an upward trend, with their money inflow witnessing a growth of <\/span><span style=\"font-weight: 400;\">26.77%<\/span><span style=\"font-weight: 400;\">. The demand for outsourcing companies increased across departments such as technology, sales &amp; marketing, and logistics &amp; operations by <\/span><span style=\"font-weight: 400;\">14.14%%, 10.74%, and 6.71% respectively<\/span><span style=\"font-weight: 400;\">. This reflects the significant shift of startups towards specialized outsourcing firms catering to their respective niches. Interestingly, this growth doesn&#8217;t extend to individual contract workers as their salaries only saw a marginal increase of 0.22%.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Full-time Female Employees\u2019 Salary Depict a Slight Growth<\/b><span style=\"font-weight: 400;\">: The total salary disbursed over the past 9 months has grown by <\/span><span style=\"font-weight: 400;\">8.22%. Meanwhile, the average salary for full-timers witnessed an uptick of\u00a0 6.69%. For fe<\/span><span style=\"font-weight: 400;\">male employees, the average salary increased b<\/span><span style=\"font-weight: 400;\">y 9.13%, <\/span><span style=\"font-weight: 400;\">and for male employees, it<\/span><span style=\"font-weight: 400;\"> grew by 8.87%. Notably, the positive trend in salaries for female employees reflects a commendable increase, highlighting strides toward gender pay equity in the workplace.\u00a0<\/span><\/li>\n<li aria-level=\"1\"><b>Hiring of Full-time Employees, Including CXO Hires Witnessed a Decline<\/b><b>: <\/b><span style=\"font-weight: 400;\">While hiring for full-time employees dipped by 17.23%, CXO hiring witnessed a decline of 25%. The data also reveals a sharp decrease of <\/span><span style=\"font-weight: 400;\">37.63% <\/span><span style=\"font-weight: 400;\">in hiring for senior executives.\u00a0<\/span><\/li>\n<\/ul>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Department-wise Growth in Full-time Hiring for Sales &amp; Marketing, Finance, and Technology<\/b><b>:<\/b><span style=\"font-weight: 400;\"> Despite a dip in hiring full-time employees, departments such as sales &amp; marketing, and finance have witnessed a growth of 23.24% and 21.45% respectively. This trend depicts strategic decision-making by companies, reallocating resources to areas that are crucial for growth and financial stability.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Salary Distributions: Finance and HR Take Centre Stage<\/b><span style=\"font-weight: 400;\">: Full-time employees in finance and human resources departments saw a salary increa<\/span><span style=\"font-weight: 400;\">se of 11.06% and 8.90% res<\/span><span style=\"font-weight: 400;\">pectively. At the same time, the overall growth across sectors stands at a growth of 7.03%.\u00a0<\/span><\/li>\n<\/ul>\n<p><b>Commenting on the trends observed, Ayush Bansal, VP &amp; General Manager, RazorpayX said,<\/b> <i><span style=\"font-weight: 400;\">\u201cThe Indian startup ecosystem continues to lead in technological disruptions, setting new benchmarks despite economic challenges. The data from the RazorpayX Payroll platform reflects a growing inclination among startups and enterprises towards outsourcing services. This strategic shift aims at enhancing efficiency, fostering a balanced approach to effective capital utilization, and paving the way for future building blocks of the company through innovation. While challenges are apparent with the decline in CXO hiring, the industry&#8217;s commitment to fostering a workplace that values diversity is evident.<\/span><\/i><\/p>\n<p><i><span style=\"font-weight: 400;\">The growth in salaries especially for women employees, despite a hiring slump, highlights the industry\u2019s commitment to building a workplace that values diversity and recognizes the contributions of all its members. Together, these trends usher in a new era of work culture marked by specialized talent, a more dynamic, collaborative approach to driving innovation, and a steadfast commitment to gender pay parity,\u201d<\/span><\/i> <b>Bansal added<\/b><span style=\"font-weight: 400;\">.<\/span><\/p>\n<p><b>RazorpayX currently serves ove<\/b><b>r 45,000 businesses. <\/b><span style=\"font-weight: 400;\">The neo-banking platform has seen over<\/span><span style=\"font-weight: 400;\"> 200% growth in its Payouts business. <\/span><b>The platform has disbursed payouts with an annualized money movement of over $30 Bn<\/b><span style=\"font-weight: 400;\">.<\/span><span style=\"font-weight: 400;\"> In a first-of-its-kind move, RazorpayX also recently launched Forex services for startups <\/span><span style=\"font-weight: 400;\">to transfer the funds they have raised globally to India seamlessly.\u00a0<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Hiring at the CXO level witnessed a decline of 25% between April and December 2023 Full-time female employee salaries surge by 9.13%, signaling forward momentum toward gender pay equity\u00a0 INDIA, Bengaluru, 31 January 2024: In the dynamic landscape of 2023, the Indian startup ecosystem underwent a period of turbulence and transformation. Startups were deeply engaged<\/p>\n","protected":false},"author":14,"featured_media":4432,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"no","_lmt_disable":"no","footnotes":""},"categories":[29,30],"tags":[33,31,52],"class_list":{"0":"post-4431","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-people","8":"category-featured-stories","9":"tag-razorpay","10":"tag-razorpayx","11":"tag-razorpayx-payroll"},"modified_by":"Anu Saraswat","_links":{"self":[{"href":"https:\/\/razorpay.com\/newsroom\/wp-json\/wp\/v2\/posts\/4431","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/razorpay.com\/newsroom\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/razorpay.com\/newsroom\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/razorpay.com\/newsroom\/wp-json\/wp\/v2\/users\/14"}],"replies":[{"embeddable":true,"href":"https:\/\/razorpay.com\/newsroom\/wp-json\/wp\/v2\/comments?post=4431"}],"version-history":[{"count":1,"href":"https:\/\/razorpay.com\/newsroom\/wp-json\/wp\/v2\/posts\/4431\/revisions"}],"predecessor-version":[{"id":4433,"href":"https:\/\/razorpay.com\/newsroom\/wp-json\/wp\/v2\/posts\/4431\/revisions\/4433"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/razorpay.com\/newsroom\/wp-json\/wp\/v2\/media\/4432"}],"wp:attachment":[{"href":"https:\/\/razorpay.com\/newsroom\/wp-json\/wp\/v2\/media?parent=4431"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/razorpay.com\/newsroom\/wp-json\/wp\/v2\/categories?post=4431"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/razorpay.com\/newsroom\/wp-json\/wp\/v2\/tags?post=4431"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}