Small startups recalibrate hiring strategy in US
SaaS firms diversifying their sales approach beyond US mkt
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Bengaluru: Small startups, and bootstrapped new age companies are recalibrating their hiring strategies in the US in the wake of prohibitive entry fee imposed by the Trump administration. However, well-funded startups and established firms will continue to hire technology talent in the US under the H-1B visa programme, given the talent shortage in the US.
“Startups will continue to hire talent in the US as there is a limited pool of talent available in both the US and India. Of course, it will be difficult for small startups to cough up $100,000 entry fee. After the clarification issued by the US administration, much of the negative impact has been reduced,” Chandra Ambadipudi, founder and CEO of ClairLabs, told Bizz Buzz.
ClairLabs is a deeptech startup that has its employees working in both US and India. Another startup, which works with the US clients, said that new age companies would be innovative in their hiring strategies in the North American country.
“These are times of market corrections and business model recalibrations. The chatter and commotion are settling in with more clarity about the H1B issue. Against this backdrop, startups and smaller firms will have to more innovative in their US hiring,” Prabhanjan Deshpande, Cofounder of ‘The Higher Pitch’ told Bizz Buzz. The Higher Pitch is an AI-powered marketing-tech company.
Meanwhile, sources in the know said that startups are also recalibrating their sales strategies around the US, given the anti-India rhetorics of the current administration.
“For years now, SaaS startups have an US-first sales strategy with many headquartered in the North American country. However, post H1B visa and the other protectionist moves, they are trying to diversify their sales strategy beyond the US,” said an industry source.
Trump administration has recently announced that employers have to pay $100,000 entry fee for bringing in foreign workers under H1B visa programme. This has sent shockwaves across global technology industry, which usually take the H1B visa route for hiring tech talent in the US. India is a major beneficiary of the H1B visa programme as 70 per cent of the professionals are from India during 2024.
Though Indian IT firms and startups benefit from this immigration visa, most benefits accrue to the US technology giants, which send Indian technology talent to work in the US.
HR experts said that this move would open up heavy demand for tech talent, who are already residing in the US.
“Demand for technology talent already in the US will be sky high now. Because employers will try to hire existing talent on H1B visa. Also, hiring of top talent will be encouraged through this system,” said an HR expert.
