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Why Is Technical Hiring The Biggest Challenge Faced By Startups?

It is essential to take care of the employees by engaging and skilling them by keeping up with the recent trend

Photo by You X Ventures on Unsplash

Technology, as a field of experience, is growing in manifolds every few months. It is probably the only field that is a rage right now with more and more candidates wanting to join the sector, increasing its demand. According to a report by CompTIA, the tech industry in the US employs over 11.8 million individuals with a 2.3% increase in 2018 over the previous years. 

Finding reliable and qualified people is a common and widespread challenge across the startup industry. The unique factor of selecting a candidate for a particular sector narrows the industry further. With MNC’s attracting the best talent with better pay and compensation retaining them in the future too, comes across as an issue.

The issue of hiring for a technical role in startups is more than just finding the right candidate. Let’s have a look at some of the prevalent problems faced by them.

Lack of sufficient funds. Startups, no matter the presence or absence of backing, have a multitude of things to look after when it comes to finances. This makes it difficult sometimes to allocate their funds towards tech recruiters. This compromise can prove to be fatal because technical recruiters make sure that the candidates are screened and verified with background checks done so that anything that may miss the eye later is caught early on. When you compromise on this factor citing lack of funds, it can work against the startup in most cases. 

Unavailability of tech skills. The technology industry has boomed and jumped every few months in terms of progress. The sector has a constant need because there is always something new that only a handful of people are skilled at. This results in a continuous state of vacancy because the sector is opening up new avenues of technology and are always on the lookout of people who are skilled at the recent upgrades of the tech industry. The challenge is that the demand to supply ratio is deficient. There are a lot of tech candidates but not good ones. The great ones are already working with the best corporations in the field. 

Keeping up with the trends. With the changing technological scenario in the world and the introduction of newer technologies like artificial intelligence and virtual reality ruling the world, it becomes a compulsion for employers to keep skilling the employees with the required knowledge. However, most companies, including startups, do not pay much heed to this aspect, letting things slide until it is too late. Most companies deter from investing time and money into skilling their recruiters, whereas others are in a situation where these resources are scarce. It is essential to take care of the employees by engaging and skilling them by keeping up with the recent trends in the field since most tech recruiters have shown signs of leaving jobs within six months of employment. 


Implementing competency-based recruitment. Competency-based recruitment refers to hiring an individual basis on their capability and competency to match the skills needed for the job applied. Testing this is done by the way the candidate speaks of their earlier professional experiences and later demonstrates their skills at the tests set out for them. The best way to test the competency of the candidate is via tests designed for them to prove their mettle which can be assessed by tech recruiters and can help eliminate the ones not suitable for the job. 

Hiring through an Intelligent Recruitment Tech Platform. Sometimes you can read a candidates’ resume and still not know anything about them. Having an automated process that helps pre-screen the candidate before their even interviewing them so that you can save you precious time. It also helps focus on not only qualified but also quality based candidates fit for your startup company. There are a few tech tools that are powered by AI,  Automation that can do screening & shortlisting suggesting the right fit for the job, &  reduce the time & cost to hire. Fully equipped, user-friendly & end to end recruitment management system. Some key features of the platform – having a huge database of candidates to choose from, AI-based screening, automation powered candidates reach out, ATS,  candidate engagement with customised content after offering the offer letter till onboarding, and providing real-time reporting & analytics. There are companies and recruitment management systems that help bring the best talent pool to you without the stress of going through the drill of hiring yourself.

Conducting virtual interviews. Virtual interviews are a rage right now. Most tech-based companies are based out of the country and startups too at times are based out of the city, making it difficult for both the employer and the prospective candidate to meet. This is where virtual or Zoom, Teams & Skype interviews come into play. This saves time and helps get to know the candidate as well. It helps eliminate the distance issue and helps to not miss out on the best candidate that may be based out of another city. 


The tech industry that includes giants and startups is growing at an alarming rate both in India and around the world. With the way things are progressing, it is safe to say that technology is here to stay with the graph only moving towards the north. Those startups that are aiming towards reaching the pinnacle of being a tech giant one day need to up their game right at the beginning. This can be done by hiring the right people because employees are the backbone and in-house ambassadors taking the company ahead.

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Digital Platform for Jobs, Work & Business solutions supported by a Professional Network & integrated Services Ecosystem. At SCIKEY, we provide Jobs, Work & Business solutions enabled by a Professional Network, to enterprises, businesses, job seekers, freelancers, and gig workers around the world. 'SCIKEY Assured,' a premium managed services offering by SCIKEY, delivers the best outcomes to enterprise customers globally for talent and technology solutions getting delivered offshore, remotely, or on-premise. We are super-proud to be working with some of the world's most iconic Fortune1000 brands. Follow SCIKEY on website, LinkedIn and Facebook.

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