How is the worker? startups benefit as their corporate clients begin to cut costs as the market declines. We’re about to find out if current trends continue.
Last year saw a surge in the number of startups offering employee benefits services through a B2B2C model, as nearly all companies focused on employee benefits during the Great Recession in an effort to retain and attract talent. These startups sell everything system of paid care leave and fertility services are discounted gym memberships consumers through their employers.
But free spending in 2021? is now completeand some of these start-ups may find the services they offer need to continue to deteriorate if market conditions continue to deteriorate.
If there really is a recession on the horizon, many of these startups would be right to fear for their future growth, but Brian Kropp, head of HR research. Gartner, doesn’t think this decline will be the last. Kropp told TechCrunch that even if the market does enter a recession, it won’t be anything like what we saw in 2008 because of continued labor shortages.