S1 #6 Hiring Trends
Is The Job-Market Half-Full Or Half-Empty?
I have been helping companies recruit talented engineers for a long time. I have seen the market at its very peak and also when it plumbed to its lowest depths. I have seen it before, during, and after the pandemic. In case you were wondering, the market went crazy hiring engineers during the pandemic and then both the engineers and the market went crazy after the pandemic leading to people either quitting or being laid off.
Has the market stabilized now? Yeah, kinda. In fact, that's exactly why Alexis and I decided to have a quick chat about the state of the current job market. While I would love for you to listen to the full episode, I realize you may be short on time, so here are some of the key lessons distilled into a post, just for you!
(QUICK NOTE, we focused on early startups and hiring for early startups since that is the area in which we operate and excel in! Hit us up if you want to know more!)
One of the most striking observations we made is that many professionals made recent job changes, particularly in late-2023 and early-2024. And, at the same time, we're also seeing a notable number of individuals who ended their employment mid-2023 and are currently (still) in a state of transition. This duality presents unique challenges and opportunities for both job-seekers and startups.
One upshot of this is that career-gaps have become more common. Many individuals took time off to recharge after experiencing burnout, or to care for family. Sure, it might cause you to worry that these candidates might be "rusty" after a year-long break. But, it is also worth remembering that these experiences can foster personal growth and clarity about career aspirations.
I recommend that founders:
Understand the Gap: Startups should be open-minded when considering candidates with gaps in their employment history. A year off can be a time for reflection, skill enhancement, and even personal projects.
Get Fresh Perspectives: Candidates who have taken time off may bring fresh perspectives and renewed enthusiasm to their next roles.
At the other end, we are witnessing a slight spike in the number of professionals taking sabbaticals or venturing into stealth-mode projects. We see professionals stepping away from traditional full-time roles to explore new ideas or start their own ventures. This shift can be beneficial for startups looking for innovative thinkers who are eager to contribute.
Again, I recommend that founders:
Expand The Talent Pool: Consider engaging with candidates who have taken sabbaticals, as they may possess valuable insights and experiences.
Look For Passion: Hiring individuals who are passionate about building something new can lead to exciting developments within the company.
But, the million-dollar question is this: Is the talent you want out there?
Short answer? Yes.
Long answer? Yes but your traditional methods of sourcing them might not work anymore. Like everything in the world over the past 5 years, the interview process also needs to evolve. We see a shift away from the traditional leet-code assessment towards practical assessments - such as work-trials - that allow candidates to demonstrate their skills in real-world scenarios.
And, from a candidate perspective, the full-stack has now become... full-er. Engineers are now expected to have a broader skill set, including knowledge of AI and LLMs. Startups seem to prioritize candidates who are adaptable and eager to learn.
In conclusion, the hiring landscape for early engineers in startups is dynamic and multifaceted. As we navigate this changing environment, it's essential for both job seekers and founders to be adaptable and open-minded. Also, this post captures only a small portion of our conversation - I would urge you to listen to the whole episode and draw your own conclusions!
About Us:
1st10 was founded on the simple philosophy that there is nothing more important to the success of your startup than the first ten engineers you hire. Because the first ten will impact the next ten and any wrong misstep can be the difference between success and failure. 1st10 works with visionary founders and exceptional engineers to build world class engineering teams.
1st10 was founded by Boris Epstein, original founder of Binc, the firm best known for pioneering embedded recruiting in Silicon Valley. Binc built early teams for Pinterest, Ripple, Stripe, Square, Airbnb, Reddit, Tesla and many more. Binc was acquired by Robinhood in 2021.