Gujarat is emerging as one of the best startup ecosystems in the country. Besides supporting entrepreneurs – young and old – startups in the state are also taking the lead in creating jobs. Some 48,138 people were hired by startups from Gujarat in 2023 alone. This is the second highest in India after Maharashtra, where startups helped create 64,974 jobs during the year.
In 2023, 3,291 startups from across Gujarat were recognised by the Department of Promotion for Industry and Internal Trade (DPIIT). In a single year, the jobs doled out by startups doubled by 103% from 23,610 in 2022.
The fiscal year 2018-19 saw a wave of startups coming in and growing, especially because of the easy availability of funds. Now these startups are maturing, growing and even scaling up and therefore, are hiring more people on their payrolls.
Meanwhile, several Gujarat-based startups have also been either acquired by global majors or funded. Even in such cases, they tend to expand and scale up rapidly due to which more hiring takes place.
According to industry experts, growth-stage technology-driven startups are the ones where hiring is taking place at a rapid pace. These include SAAS-based entities, direct-to-consumer startups and semiconductor design startups where more people are being hired.
Industry sources indicated that the number of startups has significantly grown which is also a key reason for more employment opportunities.
In all, 8,619 startups from Gujarat have been recognized by the DPIIT over five years i.e. from 2019 to 2023. These startups have employed about 1.04 lakh people during the period.
Several startups here have hired people despite the ‘funding winter’ situation as they are placed in niche sectors where growth is promising and scope for expansion is also high. Industry sources revealed that several startups have also increased their hiring from educational campuses through placement drives.