As the impact of COVID-19 continues to force tech companies to hold their spending, new research from talent.io has revealed that 38% of European firms are freezing most or all of their tech recruitment. In London alone, there has been a 57% drop in the number of companies creating new permanent tech job listings.
“Our insights into the state of the recruitment market reveals the harsh reality of the current pandemic,” comments talent.io co-founder Jonathan Azoulay. “What’s concerning is that London, which is one of the most important tech hubs in the world, is one of the hardest hit regions in Europe.”
talent.io’s market research is based on both internal and external analysis of COVID-19’s impact on the tech recruitment industry across Europe. It has monitored the hiring activity of over 5,000 tech startups, unicorns and corporate businesses on its selective recruitment platform and surveyed over 8001 of them further. It has also tracked thousands of job board listings across LinkedIn, Glassdoor and Indeed, as well as observed recruitment activity from an extensive number of Google keywords and paid marketing campaigns.
Meanwhile, a separate report from Beauhurst, which analyses investment activity of the UK’s fastest-growing companies, says 22% of jobs in high-growth tech companies were under “severe to critical risk” – equating to 615,000 people in the UK who could lose their jobs.
Jonathan continues: “The tech industry must not standstill which means companies need to invest in the right people now so they can thrive in the future. This is why we are switching to a 100% free model to help companies for the duration of the crisis. We also hope this will, in turn, help tech workers who have sadly lost their jobs find new positions.
At E-Man Venture Labs, we see an opportunity to build purpose-driven products and services that can blossom into hugely significant companies of the future and are looking for the talent to drive these businesses forward. Over the coming weeks and months, as we confirm new ventures for 2020, we shall be posting career opportunities across E-Man and our entire portfolio companies, so stay tuned.
Matt Hagger, the CEO, commented:
During periods of ecomonic stability, the status quo favors the established business.
Yet in times of crisis, opportunities do open up for new ideas and products to gain traction, where under normal market conditions, it may take longer to gain momentum. Fortune favours the brave during these times.
In economic downturns, it's not the big eating the small, but in fact, the fast eating the slow. The opportunity for talented entrepreneurial people NOW.'