Beyond the buzz of tech disruptors lies a world of tantalizing benefits and perks that continue to redefine the workplace experience. Startups have become synonymous with innovation and agility, but it’s not just their groundbreaking products and services that set them apart. It’s also the extraordinary perks they offer their employees—perks that range from the practical to the downright extraordinary.

Think: Employer-subsidized pet insurance, financial planning assistance, home office stipends, paid volunteer days, mandatory PTO, and more. 

Why are we so intrigued by these benefits?

Beyond the allure of free snacks and ping-pong tables—although those can be pretty cool—startup perks reflect a profound shift in how companies view and value their most important asset: their people. Startups understand that a motivated, well-cared-for team is the heartbeat of innovation.

So whether you’re a startup enthusiast, an HR professional looking for inspiration, or simply someone curious about the future of work, we invite you to follow along with our brand new series, Perk Savvy. In it, we will deconstruct and explore some of these unique perks and benefits to determine whether they are beneficial for you and your team when all is said and done. 


Should You Offer Unlimited PTO at Your Startup?
Behind the flashy headlines of companies offering unlimited PTO is the reality of those who must abide by it. It’s become a trendy perk, specifically in the startup realm, promising employees the freedom to take time off without worrying about a threshold. But, does it really deliver on this promise?

In the fiercely competitive landscape of startups, attracting and retaining top talent is essential for success. One of the ways companies strive to accomplish this is by offering enticing benefits to employees—such as unlimited PTO. In fact, 72 percent of workers name unlimited PTO as the number one most valued emerging benefit, and 65 percent would like their employer to offer it. However, unlimited PTO comes with its own set of pros and cons. In this blog, we’ll delve into the question of whether or not unlimited PTO is a good benefit to offer for a startup.

Pros of unlimited PTO for startups

Cons of unlimited PTO for startups

Conclusion

While unlimited PTO can be an attractive benefit for startups, it’s not a one-size-fits-all solution. The decision to offer unlimited PTO should be carefully considered in the context of your company’s culture, resources, and goals.

Startups that choose to offer unlimited PTO should establish clear guidelines and expectations, foster a culture of responsibility, and be prepared to address potential issues as they arise. When implemented thoughtfully, unlimited PTO can be a valuable tool for attracting and retaining top talent, improving work-life balance, and ultimately contributing to the startup’s success. However, it is not without its challenges, and startups should weigh the pros and cons carefully before making this important decision.

This blog was written by Sarah Garcia.

The success of any startup, especially in its earliest stages, hinges on assembling a team of exceptional talent—individuals who possess the skills, passion, and dedication to drive the company forward. Finding and retaining the “right” talent can be a daunting and time-consuming task. Fortunately, it’s a great time to build up your startup team. There are two main reasons for this:

  1. According to SignalFire’s 2023 State of Talent report, talent is flooding the market from The Great Resignation and the layoffs that plagued tech earlier this year, and there’s a massive opportunity for savvy startups to scoop up top performers.
  2. The advent of artificial intelligence (AI) and its continuous advancements gave startups access to powerful tools that can streamline and enhance the talent search process.

Here, we’ll explore how AI can assist you with sourcing, recruiting, and retaining a team that will drive your startup forward. By enhancing every human touch with data and automation, AI can unlock the full potential of your startup.

Sourcing

When you are confident in the roles you need to fill, AI can assist you with your initial search for startup candidates in several ways.

Data-driven talent acquisition: At least 73 percent of organizations are investing in recruitment automation. By integrating AI-driven applicant tracking systems (ATS), startups can efficiently collect, sort, and analyze resumes, identifying patterns and keywords that match the required skill sets and experiences. AI algorithms can also help to eliminate bias, ensuring a fair and inclusive hiring process.

Enhanced candidate sourcing: AI technology has revolutionized candidate sourcing by enabling startups to tap into a wider talent pool beyond traditional job boards. AI-driven platforms like SeekOut can scan various online sources, including professional networks, social media, and GitHub repositories, to find candidates with specific skill sets and expertise. This method significantly expands the talent pool and allows startups to discover individuals who might not actively be looking for job opportunities but are a perfect fit for your firm.

Predictive analytics for success: AI-powered predictive analytics can assist startups in making data-driven decisions regarding candidate selection. By analyzing historical hiring data, employee performance, and other relevant factors, AI algorithms through platforms like Harver can predict which candidates are more likely to succeed in specific roles. This approach enhances the quality of hires and reduces employee turnover, ultimately leading to a more stable and productive workforce.

Chatbots for seamless candidate experience: Integrating AI-powered chatbots into the recruitment process can enhance the candidate experience. Why? 85 percent of candidates expect to hear back about their job application within 48 hours. Chatbots can engage with potential applicants, answer their questions, provide relevant information about the company, and keep them updated on their application status. This instant communication and feedback can leave a positive impression on candidates, even if they aren’t selected for the current role, potentially leading to future opportunities with the startup. In fact, 40 percent of hiring professionals who used chatbots and texting for screening candidates automated the process of making alternate position recommendations to candidates that didn’t fit the ideal job profile. Check our Zapier’s list of the best AI chatbots here.

Recruiting

When you have done the work of finding a pool of qualified candidates, AI can assist with the interviewing process as well—a process that can be otherwise grueling and drawn out.

Utilizing chatbots for pre-interview communication: In addition to assisting with initial screenings, AI-driven chatbots can engage with candidates and answer their queries before the actual interview. These chatbots provide a personalized and interactive experience, informing candidates about the interview process and company culture. This will allow versed startup candidates to ask more straightforward questions using AI, providing more time in the interview to address topics that can be answered only between two humans.

Reference checks: AI can also assist if you decide to incorporate reference checks into your interview process. AI tools can analyze feedback from references, extracting valuable insights and patterns regarding the candidate’s strengths and areas for improvement. This data can provide a more comprehensive understanding of the candidate’s potential fit within the organization.

Scheduling: One of the most time-consuming elements of the interview process is often scheduling the interview itself—candidates and hiring teams alike often have dynamic calendars. In fact, 80 percent of hiring managers, recruiters, and talent acquisition professionals who used AI-powered tools for interview scheduling experienced a 36 percent time savings rescheduling interviews than those who scheduled manually. Zapier lists six AI scheduling tools that can make the scheduling process easier and more streamlined.

Retention

Once you have gotten your ideal startup talent in the door, retaining this team is critical, investing in engagement and morale over time and harnessing the potential you’ve brought in.

Identifying employee satisfaction and engagement: One of the significant benefits of AI lies in its ability to analyze vast amounts of data quickly and efficiently. Startups can utilize AI-powered employee feedback platforms like Macorva, Qualee, and Wonderflow to gather real-time insights into their team’s satisfaction and engagement levels. Regular and pulse surveys and sentiment analysis can help identify potential pain points and areas for organizational improvement. By proactively addressing issues, startups can demonstrate their commitment to their employees’ well-being and job satisfaction, increasing loyalty and retention.

Personalized learning and development: Employees are more likely to stay with a company that invests in their professional development and provides opportunities for career advancement. AI-driven learning and development platforms can tailor training programs to employees’ unique needs and career aspirations. By analyzing individual skills, performance, and interests, startups can offer personalized learning pathways, enabling employees to upskill and grow within the organization. Some examples of tools available include:

AI-powered learning platforms foster a sense of loyalty and boost overall productivity and innovation within the startup.

Integrating AI and human judgment to build your best team

While AI can enhance the efficiency and accuracy of your recruitment process, it is essential to strike a balance with human judgment. Technology can never fully replace the human touch in hiring, especially retention. Personal interactions remain crucial to develop a candidate’s passion, motivation, and creativity. Combining AI and human insight ensures a holistic evaluation, leading to your best possible team.

If the task still seems daunting, the Viaduct team can bridge your startup and next great hire. Click here to learn more.

This blog was written by Tom Hausler.

The ability to identify and nurture leaders on your startup team is a crucial and invaluable differentiator for startup ecosystems. When leadership opportunities open up at your startup, it’s often an existing team member who already knows the ins and outs of your organization and is ready, willing, and able to step up—so long as they are empowered to do so.

To drive the point home, plenty of data suggests that future generations value an environment encouraging leadership development. In fact, 87 percent of millennials rate development opportunities as important to them in a job, and 76 percent of Gen Z say that learning is key to their success.

Identifying and empowering future leaders will not only enhance productivity but also foster a culture of innovation and continuous improvement.

In this blog, we will explore three ways you can identify and nurture the future of your startup’s leadership.  

1. Identifying your startup’s leadership ethos

Recognizing leadership on your team begins with deciding what makes a great leader in your specific culture. Remember that every startup’s ethos differs. What makes a great leader at one organization may not translate to another. Knowing and naming your company’s preferred leadership style will be the key to unlocking future leaders on your team. They can take note of what your leadership looks for and work towards those traits. Aside from those unique characteristics, here are more general attributes and behaviors to look for when identifying future leaders:

2. Offering learning and development initiatives

It’s important to remember that not everyone you hire wants to climb the ladder in your organization, but everyone can benefit from ongoing learning and development initiatives. These will play a pivotal role in fostering leadership skills within your startup team where they are desired. Here’s how these initiatives can contribute to overall growth and success:

If you want to unlock a new level of leadership within your team, the experts at TalentRise can help. Executive coaching can help align your leadership team and set them on the right track to achieve a new level of success. Our expert executive coach will work directly with your C-Suite and anyone on your team eager to develop their leadership skills and give them the tools to overcome challenges and lead their team to success. This can be in a one-on-one format, with the entire team, or with a specific group. Connect with a leadership coaching consultant here.

3. Conducting meaningful 1:1s

One of the most effective ways to find the next generation of leaders on your team is through meaningful and productive one-on-one (1:1) meetings between your team members and their managers. 1:1 meetings provide an intimate space where managers can open the floor for conversations about their direct report’s 5-year plans, goals for their career, and what kind of positions they want to grow into, if any. While some team members will thrive as contributors, others are eager to learn as much as possible and develop leadership skills at every career stage. It is crucial to know who is who on your team.

Once potential future leaders are identified, the next step is to create personalized growth plans tailored to their aspirations and career goals. 1:1s allow managers to openly and transparently discuss these objectives, enabling them to guide employees on their development journey.

This blog was written by Jennifer Seal.  

Improving team communication is an ongoing, critical priority for every startup.

Your team should be able to collaborate effectively, share ideas, and make quick decisions. It’s also essential that your communication allows everyone to sync priorities and work towards the same goals.

Communication can be challenging when working with a small team in a high-pressure environment like a startup. No startup does this perfectly; it will take time and prioritizing communication skills to get it right.

We’ll explore five ways to improve your team communication:

  1. Use the right tools
  2. Foster an “open door” policy, no matter how your team is dispersed
  3. Be smart about your meetings policy
  4. Encourage (and practice) open feedback as a leader
  5. Set clear expectations for communication and then stick to them

Effective communication will impact every area in your life—far beyond your workplace—so nailing it in your startup environment will get you on the right path to success.

1. Use the right communication tools

As a startup, you have to be smart about your resource allocation, so it’s essential to use tools that allow you to maximize your communication’s impact. Here are some tools we recommend for the various needs you’ll have on your startup team.

Team Communication

Whether or not your team is in an office, it’s essential to have a platform that allows for the easy and quick exchange of information as you work. Here are some of our favorites:

Video Conferencing

Chances are, even if your entire team is in office, you will still need a video conferencing platform for client calls, one-off work-from-home days, recording case studies, and more. There are two favorites in this category:

Talent Optimization

Talent Optimization is essentially the collection, analysis, and application of “people data.” It’s critical to ensure your team is in the proper role, with the right responsibilities, so that you can achieve your desired business results. There are a couple of different solutions:

2. Foster an open-door policy

Startups thrive on innovation and creativity, and team members must feel comfortable sharing their ideas and thoughts without fearing being shut down. To improve communication, your leadership team should consider establishing an open-door policy where team members can approach them with any concerns or ideas they may have.

This will only work if leadership shows an eagerness to hear out new ideas and concerns, so yes – you have to keep your office door open.

On remote teams, it’s challenging to demonstrate a proverbial “open door.” However, leaders can still encourage team members to send direct messages on Slack, Microsoft Teams, or whatever platform they use. Then, make a concerted effort to engage with those messages sincerely.

3. Be smart about your meetings policy

Regular team meetings are essential for keeping everyone on the same page and ensuring everyone is consistently aligned with your startup’s goals and objectives.

To ensure these meetings are a good use of everyone’s time, however, assign your desired goals and outcomes at the start so that clear action items drive the business forward by the end.

A growing trend among startups is to assign one day per week where no meetings are allowed. These days are not just about having free time or being able to transition into deep work. It’s an invaluable tool for learning about company culture and your organization’s ethos around meetings.

In another headline-worthy startup trend, Shopify removed all recurring meetings with more than two people “in perpetuity” while re-upping a rule that no meetings at all can be held on Wednesdays. The company’s leaders encouraged workers to decline other meetings and remove themselves from large internal chat groups.

There seems to be a growing consensus that large, long, unproductive meetings have become a scourge of today’s startup environments and the enemy of forward movement. If and when you schedule recurring meetings, be strategic about their purpose and cadence.

4. Encourage feedback and constructive criticism

Feedback and constructive criticism can help team members grow and develop, but providing it positively and constructively is essential. As a leader, encourage team members to give feedback to each other and provide constructive criticism when necessary. This feedback can help improve processes, products, and services and ultimately drive success.

5. Set clear expectations for communication

In a startup environment, time is of the essence, and miscommunication can be costly. If your team knows exactly what you expect and exactly what to expect from you, it’s one less energy drain on their subconscious.

Avoid ambiguity at all costs. Be clear about deadlines, when you will get back to them with an answer or project, and their priorities.

If you want a morning check-in with them, make that clear. If you abide by a “no news is good news” policy, ensure that’s also clear.

In essence, it is impossible to over-communicate in a startup environment. As a leader, it’s your job to distill these practices from the top down so that your team feels comfortable offering and receiving feedback, being open about their own processes and ideas, and empowering them to grow your business.

This blog was authored by Viaduct Talent Consultant Sarah Garcia.

If you are on the fence about taking a job at a startup or early in your career and wondering whether corporate life is for you, you’re in the right place. While the startup community is not for everyone, there are specific lessons you will learn much more quickly at a startup than anywhere else. In a fast-paced environment—frequently with limited structure or standardized processes—the right individual will not shy away from the ambiguity. Not only will you learn fast, but these lessons will stick with you wherever you go.

The power of agility

One of the fundamental lessons you’ll learn at a startup is the importance of agility. Startups thrive on the ability to adapt quickly to changing market dynamics and customer needs. Rigidity can be detrimental to success in such a fast-paced environment. By being open to change and embracing agility, you’ll discover the value of pivoting, iterating, and constantly improving products, services, and strategies. The best part is that you’ll more than likely directly impact how these things are developed at the ground level.

Ownership and initiative

Startups often have limited resources and a lean team, so there is ample room to take ownership and initiative. You’ll quickly realize that your contributions matter significantly and that you’ll have the freedom to make an impact beyond your defined role. By taking ownership of tasks and projects, you’ll learn to be proactive, resourceful, and accountable for outcomes. There are few work environments where a sense of responsibility and an entrepreneurial mindset can be so quickly instilled.

Fail forward

Startups are synonymous with risk-taking, and failure is an inherent part of the entrepreneurial journey. As you progress in your startup role, you will learn to see failures as learning opportunities rather than setbacks. In a startup environment, mistakes are often embraced as valuable feedback that helps refine strategies and products. This mindset shift will allow you to embrace failure as an opportunity for growth, iterate quickly, and continuously improve.

Collaborative spirit and multidisciplinary skills

Startups thrive on collaboration and teamwork. With small teams and diverse responsibilities, you’ll learn the importance of fostering a collaborative spirit. Startups often require individuals to wear many hats and work across various domains. By working in a startup, you’ll have the opportunity to broaden your skill set and be exposed to different aspects of business operations. You’ll learn to appreciate the power of interdisciplinary collaboration, leveraging diverse perspectives to solve complex problems and drive innovation.

Customer-centric mindset

At the core of any successful startup is a deep understanding of the target customers and their pain points. As a result, communicating regularly with customers may become a necessity. By working closely with customers, you can develop a customer-centric mindset. You’ll learn to actively listen, empathize, and translate customer feedback into actionable insights. No matter what field you enter next, this lesson will reinforce the significance of building products and services that truly address customer needs, ensuring a sustainable and loyal customer base.

The current economic climate presents unique challenges for startups, especially those in their early stages. Startups must be agile and adaptable to succeed in a competitive and rapidly changing business environment. Making strategic cost-cutting decisions, leveraging your current talent pool, optimizing systems and processes, and driving performance management can position you for long-term success and growth. 

1. Tightening financial markets are making it difficult for startups to secure the funding needed to grow and sustain operations requiring founders to be strategic in their approach to cost-cutting.

2. Focusing on retaining top talent is critical for the success of any organization, but it can be particularly challenging for startups, which often face intense competition for skilled workers.

3. Driving performance management is essential for startups to maximize the potential of their employees.

4. Optimizing systems and processes is essential for startups to achieve their business goals efficiently and effectively. By taking a systematic and data-driven approach to optimize systems and processes, startups can increase efficiency, reduce costs, and improve the quality of their products or services.

Related: How to Create a Recession-Ready Talent Strategy

Related: Building a Leadership Team for Startup Success

Startups that can navigate the challenges of the current business environment and position themselves for long-term success and growth will be the ones that succeed. By staying agile and adaptable and making strategic decisions, firms can create sustainable businesses that thrive in even the most challenging market conditions.

This blog was written by Peter Petrella.

In the startup arena, limited resources combined with dwindling capital can make it challenging to gain a competitive edge. Startup founders must be strategic in their budgeting efforts because the tightening financial markets have made it increasingly difficult to obtain the funding needed to expand and scale business operations and staff. A part-time fractional C-suite executive can provide your startup with leadership, expertise, and strategy at a fraction of the cost of hiring the same executive as a full-time employee.

What is a fractional executive?

According to Forbes, fractional hiring is today what freelance work was 20 years ago. A fractional executive is a high-level professional who works part-time or on a project basis for a company, typically in C-suite roles such as CEO, CFO, COO, CMO, or CTO.

Fractional executives are hired by startups, small businesses, and companies in transition or growth stages who need access to specialized expertise but don’t require or can’t afford a full-time executive. Fractional executives work remotely or on-site, providing strategic leadership, guidance, and implementation advisory support for a specific business area.

Startups should consider hiring fractional executives based on their specific needs and resources, but there are many factors to consider. We’ll dig into those here.

Benefits of Hiring Fractional Executives

In the same vein as the value an experienced freelancer can provide to a startup without the commitment of a full-time salary, benefits, etc., a fractional executive can offer you the full scope of their expertise and industry relationships without the price tag of a full-time C-level executive. Several benefits come with this strategy.

Considerations of Hiring Fractional Executives

While there is much to gain for early-stage startups hiring fractional executives, some things worth considering could make for a not-so-great outcome. The concept is still in its early stages, and you won’t find one strict way of introducing this role to your close nit startup team, so the following are some considerations to be aware of.

Related: How to Avoid the Five Most Common Hiring Mistakes as a Startup

Factors to Consider When Deciding Whether to Hire Fractional Executives

If you are on the fence about introducing a fractional executive into your startup environment, there are a few factors you can consider to help you make the decision:

Need help finding a fractional executive? Hiring a fractional executive can be a smart and strategic move for startups and small businesses that need access to specialized expertise and leadership but don’t require or can’t afford a full-time executive. Before deciding whether to hire a fractional executive, it’s important to consider your startup team’s specific needs and resources, the market conditions for that particular role, and the compatibility of the fractional executive with the company culture and team dynamics. Doing so will maximize the potential benefits of hiring a fractional executive and effectively achieve your long-term goals.

Are you looking to gain part-time, on-demand access to experienced leaders at a fraction of their full cost? Are you seeking specific help to strategically guide your leadership team’s key business decisions to minimize costly mistakes? Learn more about Viaduct’s services here.

Related: How to Create a Recession-Ready Talent Strategy

This blog was authored by Carl Kutsmode.

So, you’re a leader at a startup. Let us start by saying this role is not for the faint of heart.

Your startup team is the backbone of your organization. Their satisfaction with, and engagement in, your leadership can impact everything from new product features to customer satisfaction.

Your role as a startup leader will set the tone for the company’s culture and direction. A strong leader can inspire and motivate their team to achieve great things, while a weak leader can derail the entire operation.

Whether you’re a founder, a manager, or an employee who would like to advance someday, understanding the importance of leadership in a startup is essential for achieving your long-term goals.

We’ll walk through six leadership strategies to meet startup employee needs and expectations:

  1. Provide growth opportunities
  2. Make priorities clear
  3. Lead by example
  4. Encourage and seek out mentorship
  5. Hire people who reflect your culture and values
  6. Trust who you hire

Your startup team will turn to you as a leader for reassurance about the company’s direction and motivation to keep pushing when they inevitably spread thin.

Not everyone is cut out to take on a leadership role at a startup. But, if it’s something you pursue, these six strategies should be part of your ongoing development.

Related: Building a Leadership Team for Startup Success

1. Provide growth opportunities

Startup employees are notoriously scrappy and ambitious. It’s often implied that by joining a small team at the start, they are looking for a foundational experience that will lead to growth down the road. As a leader, it’s your job to foster more leaders.

Make sure you clarify your team’s growth goals at the start. You might find some of your team is happy to execute while others are motivated by the idea of promotion. Once you know what your team prefers, put structure in place to allow them their desired path.This can look like:

With day-to-day operations at the top of your mind, it can feel challenging to take a step back and focus on your employees’ development. However, when employees feel dissatisfied with their growth and direction, company morale will decrease, which can have ripple effects across the organization.

Your job as a startup leader is to encourage, provide tools for, and allow growth inside your startup.

2. Make priorities clear

If you’ve experienced it, you might agree: Going to work each day and fearing for your job is one of the worst feelings for a startup team. Even if their job is perfectly safe, they might be so worried about losing it that their performance suffers.

The best way to avoid your team feeling this way is to make it abundantly clear what the priorities are for the company and, in turn, what each employee’s specific outcomes should be.

In doing so, every employee will know exactly what is expected of them, and whether they are meeting those expectations.

This can be done weekly, monthly, or quarterly, depending on the priority or key performance indicator. Whatever you decide, it should be a clearly defined expectation—”We need three new features per month.”—rather than a vague sentiment—”We need you to keep coming out with features.”

You will be amazed at how putting your employees at ease in this way increases their ability to focus and filter tasks.

3. Lead by example

Perhaps one of the worst things you can do as a leader is not practicing what you preach. If you require employees to be in the office, don’t work from home when you feel like it. If you need employees to stay late, don’t scoot out early. If you require employees to submit performance reviews, ensure you are doing the same.

You get the idea.

Whatever you and your fellow leadership team have decided are key behaviors to build and foster your culture, make sure you are embodying these.

4. Encourage and seek mentorship.

It’s easy to get so caught up in your ongoing responsibilities that there is little room for much else. But startup employees often seek a deep, rich work experience that allows them abundant career growth.

Mentorship is an excellent way of providing this to your employees.

Offer them time out of their workday to seek out and meet with a mentor if they so choose. Even better, seek out and meet with a mentor yourself. Your employees will appreciate a top-down ethos that clearly states: I have room to grow and am open to being guided by someone who knows more than me.

5. Hire people who reflect your culture and values

Harvard Business School Professor Howard Stevenson said, “Maintaining an effective culture is so important that it, in fact, trumps even strategy.”

You can talk about culture as much as you want, spend lots of time identifying core values, and update your brand guidelines to reflect what you want your culture to be. But at the end of the day, your culture is your team, and your team is your culture.

If you say your culture is open to feedback but consistently hire individuals who are not open to feedback, your employees will suffer. If you say your culture pursues growth, but the executives you hire are all ego, your employees will suffer. If you say your culture prioritizes work-life balance, but you hire managers who send emails at 11 p.m. and expect a reply, your employees will suffer.

Not only will your employees suffer, but they will also become completely disillusioned by your statements about culture, vision, and values.

Perhaps the most critical strategy we can suggest is hiring people who reflect your culture and values.

6. Trust who you hire

The final strategy for effective startup leadership is to trust who you hire.

Your employees are joining your organization because they want to be entrusted with building something from the ground up.

If you bring in eager employees and then micromanage them to death, you will most likely drive them right back out the door.

Understandably, as a leader, you feel significant ownership over the organization’s output. This mindset can make you prone to wanting the final say on everything that gets produced. Not only is this unsustainable for you, but it will also destroy the morale of your employees.

Related: How to Recognize, Address, and Prevent Burnout at Your Startup

By trusting your employees to do the job you hired them for, you will empower them to take ownership of their work, and they will begin to develop a founder’s mindset.

As you grow in your startup leadership journey, remember that being a leader is not just about achieving personal success but empowering others to reach their full potential. By employing these six strategies, you authorize your team to recognize and pursue their strengths in your organization’s safe and supportive environment.

This blog was written by Tom Hausler.

The COVID-19 pandemic caused economic disruptions that could lead to a recession in some industries. Chief Executive Officers in the United States and worldwide feel that slow growth and a recession are their top external worry for 2023. In fact, 60 percent of U.S. leaders don’t expect economies to revive until late 2023 or mid-2024. At the same time, the pandemic spurred changes in the way that people work and consume goods and services, which could lead to a resetting of the economy in the long term. Therefore, you may wonder if we are experiencing a recession or a resetting.

Signs of a recession

Almost two-thirds of economists surveyed by the World Economic Forum predict a recession in 2023. A recession is typically defined as a period of economic decline characterized by a decrease in Gross Domestic Product (GDP), increased unemployment rates, and reduced economic activity lasting at least several months. The signs of a recession can vary, but some common indicators include:

1 – A decrease in Gross Domestic Product (GDP): GDP is the total value of goods and services produced within a country’s borders. A decline in GDP for two consecutive quarters is generally considered a sign of a recession. The U.S. GDP has increased 34 percent year over year. The Bureau of Economic Analysis reports the following GDP changes:

S&P Global expects “U.S. GDP to decline by 0.3 percentage points from its peak in the first quarter 2023 to its third-quarter trough. If correct, this will beat the 2001 recession as the softest recession in recent history since 1960.”

2 – Rising unemployment: During a recession, many businesses may cut jobs or close entirely, leading to higher levels of unemployment. In the first quarter of 2023, we have seen the lowest unemployment rate in a half-century, with layoffs up nearly fivefold. In the second quarter of 2020, the unemployment rate went as high as 7 percent and has steadily declined. In March 2023, the unemployment rate was at 3.5 percent—matching the first quarter 2020 pre-pandemic rate—and has fluctuated between 3.5 and 3.7 percent since March 2022.

In the first quarter of 2023, job cuts increased 396 percent from the same period a year ago. The tech industry laid off the most workers, but several other sectors have been affected, including e-commerce, media, and Wall Street. Historically, during recessionary times, we have seen some industries thrive and even grow, including healthcare, financial services, auto repair, stores—home maintenance, grocery, and discount—freight and logistics, utilities, and property management.

3 – Decreasing stock prices: As investors become more pessimistic about the economy, stock prices may decline, reducing consumer and business confidence and leading to further economic contraction. The S&P 500 is up around 7 percent for the year, and there is optimism that the worst may be over.

4 – Decreased consumer spending: As people become more uncertain about their financial situation, they may cut back on spending, which can further reduce economic activity. A February PWC Survey found:

5 – Declining business profits: As demand for goods and services decreases, businesses may see their profits decline, leading to further job cuts and reduced investment. Corporate profits in the U.S. fell 7 percent in the fourth quarter of 2022, after a 0.8 percent gain in the previous period. The S&P 500 first-quarter 2023 earnings decline was -6.6 percent.

Related: How to Create a Recession-Ready Talent Strategy

Based on the above common indicators, two out of five (decreased consumer spending and profits) point toward a recession. It’s important to note that these indicators are not always present in every recession, and some may be more pronounced than others. It’s also worth noting that economic indicators can be lagging, meaning that they may not fully reflect the current state of the economy until several months after the fact.

Signs of a resetting

A resetting can refer to a fundamental change in the economy’s structure or how people work and live, often driven by technological advancements or shifts in societal values. The pandemic has had far-reaching impacts beyond just health and safety concerns. Many people lost jobs or experienced financial hardship, significantly affecting the global economy. What we are experiencing may not be a recession but, a resetting back to an altered form of pre-pandemic life.

Change in how people work: The pandemic has caused significant changes in how people work and accelerated trends already underway.

The Great Resignation: The Great Resignation is a term used to describe the trend of employees leaving their jobs—a record  47.8 million in 2021 and 50.5 million in 2022—in large numbers. The pandemic caused many workers to re-evaluate their work-life balance and priorities and change their career paths. In return, employers have shifted their focus to increased workplace flexibility, upskilling, and corporate culture, significantly reshaping the labor market and how companies approach talent retention and recruitment.

Compensation adjustments: Companies increased salaries or offered other incentives during the Great Resignation in industries with worker shortages. Many employers stretched their salary guidelines to attract new workers or make counteroffers to employees threatening to quit creating inequity and pay gaps within teams. Employers in the retail (5.0 percent) and restaurant and bar (7.5 percent) industries are still increasing average hourly earnings to counteract labor shortages.

Related: Pay Up or Lose Out: How Hiring a New Employee is a Lot Like Buying a New Home

Lack of demand: We are now seeing the U.S. job market showing signs of softening as rising interest rates and slowing economic growth affect hiring. With decreasing consumer spending causing declining business profits, job cuts increased 396 percent from the same period a year ago. Organizations choosing not to enact hiring freezes and layoffs use quiet hiring to acquire new skills without hiring new full-time employees. In fact, 80 percent of workers have been quiet hired. According to Gartner, the three main components of quiet hiring include:

The bottom line

While a recession and a resetting can sometimes coincide, they are distinct phenomena, and the current economic situation may involve elements of both. The pandemic has significantly impacted the labor market, leading to job losses, business closures, and changes in work arrangements. While demonstrating signs of recovery, it is still uncertain how long-lasting the effects of the pandemic will be on employment and the economy as a whole. While economists can provide insights and predictions based on available data and research, the complexity and dynamism make it challenging to define in simple terms and predict with complete certainty.

This blog was written by Carl Kutsmode.

Accepting a job at a startup means you agree to shape and impact a company in its earliest stages. Many startups operate on tight budgets and lean operations, so every hire is critical, and there is little room for error.

Because the stakes are higher, the startup interview process is a key time to showcase your skills and stand out.

We’ll walk through how candidates can tailor their experience and accomplishments to set them up to shine through each stage of the startup interview process: The application, interview, and follow-up.

1. The application stage: research, research, research

The worst thing you can do as an interested candidate is submit the same version of your cover letter and resume that you always use.

Unlike larger organizations where resumes are filtered through artificial intelligence (AI), startups typically have real people reviewing applications. These individuals are not just looking for a skill match. They are often looking for a culture fit, and a deep understanding of what their company does.

Related: After Talking to a Recruiter Take These Four Steps

Related: 7 Questions to Ask an Executive Recruiter

Here are a few tips to stand out during the application stage.

Whenever possible, network before you really want the job.

The great thing about the startup ecosystem is the plethora of corners of the internet it shows up in. LinkedIn, Slack channels, Facebook groups, and more are great places to familiarize yourself with startups that you really resonate with.

If you take the time to connect with founders and leaders who inspire you, you are more likely to have a leg up when your dream job becomes available. Follow the company’s events page or find out if there are any happy hours or networking opportunities where they will be in attendance, and you can introduce yourself.

Start forming those relationships early on, and your resume has a much better chance of rising to the top of the stack when the time comes to apply.

When in doubt, write a cover letter

Cover letters have become one of the most polarizing parts of the application process. Some hiring teams argue that they are thrown out or are often filled with fluff that simply regurgitates the same information they see on resumes.

Others argue it is a fantastic way to make your application more human, providing context to the web of experiences that led you to apply for the position.

In startups especially, a cover letter is not just a chance to weave together your experiences in a thoughtful way. It is your opportunity to demonstrate your knowledge of the startup where you want to work and explain why you’d be a good fit.

Hiring teams are often spread thin, and you can probably imagine how many stacks of resumes they look at for a coveted position. A well-constructed cover letter can jolt a hiring manager out of an over-stimulated stupor and draw more of their attention to your qualifications.

Use the STAR method

As early as the application phase, we recommend you use the STAR method to showcase your skills during the startup interview process.

Related: The 5 Soft Skills You Need to Succeed in a Startup Environment

If you are not familiar, the STAR method is a technique that helps you format your experiences:

While you don’t want your resume to be pages long, try to draw at least one specific outcome from each position you’ve held.

Startup hiring managers will not resonate with vague summations of your previous roles and responsibilities. What they will resonate with is outcomes.

Here is an example of the STAR method in writing:

“When our company needed a rebrand, I was responsible for getting media coverage. I leveraged my relationships in the media, and as a result, our press release was covered by 20 media outlets, and our website traffic increased by 400 percent.”

2. The interview stage: Be curious and enthusiastic

If you’ve made it to the interview stage, you can be confident that you are qualified for the job, and the team wants to examine your qualifications further. This is a huge accomplishment and where the real work begins.

Sign up for the website, use the product, request a demo, etc.

If you are applying for a company that offers a service or built a product, a great way to prepare for the interview is to get as much firsthand knowledge as possible about it.

Is it an app? Download the app and poke around. Software company? Sign up for a free trial or create an account.

The initiative will demonstrate you are serious about adding value to the company. As a bonus, jot down some ideas and observations about the product or service.

Get to know your hiring team

When assigned an interviewer or a team of interviewers, ensure you get their full names and do your research. Walking into the interview, you should know their professional background and experience. This information will help you formulate your “sales” pitch and communicate how you culturally align with their organization and will fill any gaps.

With this knowledge, you can ask more relevant questions, find out what drew them to the company, and keep them there.

Don’t just ask questions – ask hard, smart ones

By now, every candidate knows that they must come into an interview with questions to ask at the end. As a result, the same few questions are beginning to regurgitate in interviews, and hiring managers have likely heard them all.

If you want to stand out, dig a little deeper into this step of the interview process and prepare four to five questions that wouldn’t necessarily apply to any other interview.

These questions should be based on:

Ultimately, your questions should demonstrate a genuine curiosity about what the operations and growth of the company look like.

Related: What Makes Working at a Startup Special?

3. The follow-Up Stage: Be proactive, not reactive

The relief you feel at the end of the interview process might feel like your time to heave a sigh of relief and know that you’ve done all you can and “it’s out of your hands.”

On the contrary, there are still steps you can take to stand out, even after the in-person interactions have ended.

Ask for specifics while you have an audience

At the end of your in-person interview, get all the information you can about the decision process. Try and get a time frame/date, whether you will be contacted by phone or email, and if you will be notified in either scenario (offer or rejection.)

Master the art of the “thank you” note

The follow-up thank you note (or email) should be used to demonstrate excitement and gratitude for the time you spent being considered for the role.

If you left something glaringly open-ended in your interview, you could use the thank you note to clarify that item (i.e., start date.) By and large, you should avoid using the thank you note to add content to your qualifications.

Harvard Business Review recommends this template:

  1. Thank them for their time and attention
  2. Mention one thing you learned about their organization that excited you
  3. Mention you look forward to hearing from them

Follow up thoughtfully

If you were provided with a date for a decision, follow up a week after that date if you have not heard from the hiring team.

It’s possible that they made an offer to someone else that might be rejected, or other logistics are at play. Remember that human processes don’t always go smoothly.

When the day comes, send a brief note to the hiring manager you dealt with, reiterating the content in your thank you note and requesting a status update.

So long as you approach this thoughtfully and humanly, you will avoid coming off as eager or aggressive.

Be patient: Startups don’t always run a meticulous process

Though it can be excruciating to wait for an answer from a team you want to be a part of, try to extend patience and understanding as you wait.

Continue to network, volunteer, apply to other jobs, and find outlets for your energy. Remember that finding the perfect match will take time.

This blog was written by Viaduct Director of Recruiting and Business Operations Tom Hausler.