Summary –
- The tech and startup landscape in India is experiencing a shift as banks, shadow banks, insurers, and broking firms recruit tech talent from companies grappling with ongoing uncertainties.
- This strategic shift is aimed at bolstering digital capabilities within these financial entities, as tech talent seeks stability and competitive salaries.
- The convergence of tech talent from the tech and startup ecosystem into traditional financial institutions is a paradigm shift in the industry.
Introduction
In the bustling tech and startup landscape of India, a notable trend is emerging as banks, shadow banks, insurers, and broking firms are actively recruiting talent from companies grappling with ongoing uncertainties. This talent acquisition drive is primarily geared towards bolstering digital and technological capabilities within these financial entities.
Over the recent months, there has been a significant influx of mid- and senior-level executives transitioning from prominent tech firms and startups such as Paytm, Byju’s, Swiggy, and Flipkart to established financial institutions including Kotak Mahindra Bank, IndusInd Bank, and HDFC Bank, among others. The move is indicative of a strategic shift as these financial entities endeavour to enhance their digital prowess amidst a rapidly evolving technological landscape.
Anuj Roy, managing partner of executive search firm Fidius Advisory, elucidated on the evolving dynamics, stating, “Tech/startup professionals are seeking stability. These companies, on their part, are paying good money and offering more cutting-edge work than earlier to attract them.”
Pranshu Upadhyay, regional director of Michael Page India, highlighted the changing perceptions within the talent pool, noting a growing inclination towards established financial institutions. “The startup story has lost part of its sheen for some time now,” he remarked.
Tech Talent In Demand
Milind Nagnur, Chief Technology Officer at Kotak Mahindra Bank, shed light on the bank’s recruitment strategy, emphasising the importance of building an in-house engineering team equipped with diverse technological proficiencies. “We endeavour to be a tech-driven bank,” stated Nagnur, underlining the bank’s commitment to fostering innovation and technological advancement.
Similarly, IndusInd Bank has been actively pursuing talent acquisition efforts from the technology and startup sectors. Zubin Mody, Chief HR Officer at IndusInd Bank, emphasised the holistic approach adopted by the bank in attracting tech talent. “As a talent set that most closely represents the future of work concept, techies expect flexible work, access to the most current technologies, and an environment that encourages innovation,” noted Nagnur.
Addressing Talent Expectations
In response to evolving talent expectations, financial institutions are offering competitive salaries, perks, and opportunities for professional growth. Beyond monetary compensation, emphasis is placed on providing an environment conducive to innovation and rapid decision-making.
Roy highlighted the competitive landscape, stating, “Salaries are at Rs 2-3 crore and beyond for top-level talent, going up to even Rs 5 crore in some cases.” However, challenges such as hesitancy towards Employee Stock Ownership Plans (ESOPs) in certain cases persist, particularly among candidates accustomed to the high-risk, high-reward culture prevalent in startups.
For more such content, follow: Analytics Jobs
Conclusion
The convergence of talent from the tech and startup ecosystem into the realm of traditional financial institutions underscores a paradigm shift in the industry. As financial entities endeavour to embrace digital transformation, the recruitment of tech talent plays a pivotal role in shaping their competitive edge in an increasingly technology-driven landscape.
