Top executives are leaving startups like Flipkart and Ola. Are they hungry to start their own ventures?
Advertisement
Advertisement
Senior managers, working at startups like Flipkart, Snapdeal and Ola, are no more interested in these top consumer Internet companies in India. They are heading for the exit door, with many citing a mixture of low job satisfaction and poor work-life balance.This change is seen at a time when Indian startups, boosted by soaring valuations, are on an aggressive spree to hire new talents. So are these mangers hungry to start their own companies? Lets’ read and know!
The 41-year-old Seetharaman, who led the development of consumer mobile interfaces while at Ola, teamed up with former colleagues
Termed unicorns — or companies valued upwards of a billion dollars — Flipkart, Snapdeal and Ola have all witnessed exits of senior managers in recent months.
Advertisement
The latest exit was of
Chief Technology Officer
Restaurant listing guide Zomato has seen the exits of marketing heads
The Gurgaon-based company's chief product officer
Let’s know the reasons behind leaving the billion dollars companies.
Advertisement
Seniors being relegated: Experts tasked with finding fresh talent for these high-growth startups say several exits stem from seniors being relegated when hierarchies alter. "Shrinking interactions with the founders coupled with decreased influence on impactful decisions are two most frequently cited reasons for individuals to move out of startups," Harish Kumar, founder of headhunting firm Wenger & Watson, told ET.
Volatile work environment, long working hours, and high levels of stress are also wearing out several senior executives at startups. "The culture of having beds for technology teams in offices can backfire and hurt emotional health," said a senior technology executive who quit a Delhi-based startup.
Bid to lock in talent: Dissatisfaction with compensation is also leading to exits in several cases. Startups typically offer employee stock options aimed at locking in talent from a year to four years. Often, employees can cash in about a quarter of their holding after a year. "After that, shares can be redeemed on a pro rata basis every month or quarter, depending on the contract," said Seetharaman.
However, this is only at an ideal startup. At several others, founders allow only a tenth of promised stock to be sold at the end of a year, with vesting periods rising incrementally to 40% at the end of four years. "There can be additional harsh lock-ins, which make the packages unfair," said the Delhi-based founder of an executive search firm who works with companies such as Flipkart, Zomato and Snapdeal.
Senior employees are realising that they too have a chance of making big returns from India's unprecedented startup boom where the top Internet companies have between themselves soaked up some $6 bn of funding so far.
Advertisement
(Image: Indiatimes)
Advertisement
- I spent 2 weeks in India. A highlight was visiting a small mountain town so beautiful it didn't seem real.
- I quit McKinsey after 1.5 years. I was making over $200k but my mental health was shattered.
- Some Tesla factory workers realized they were laid off when security scanned their badges and sent them back on shuttles, sources say
- Stock markets stage strong rebound after 4 days of slump; Sensex rallies 599 pts
- Sustainable Transportation Alternatives
- 10 Foods you should avoid eating when in stress
- 8 Lesser-known places to visit near Nainital
- World Liver Day 2024: 10 Foods that are necessary for a healthy liver