The growing tide of tech layoffs provides a new opportunity for stable companies to acquire top-tier talent, but businesses should maintain “discipline” around their hiring decisions, SafetyCulture founder Luke Anear says.
Global tech giants like Amazon, Microsoft, and Google have cut thousands of workers loose in recent weeks, as years of tech-sector growth and optimism give way to uncertainty and fear over 2023’s economic prospects.
Layoffs have struck closer to home, too. Meta and Twitter have both reduced their headcounts, including local staff, and Australian companies spanning the tech sector, including Mr. Yum, Linktree, Brighte, and Swyftx, have all let workers go since June last year.
The redundancies are backdropped by shifting capital markets, and investors shying away from growth-seeking companies and their voracious appetite for new talent.
That hunger for staff is what made software engineers, developers, and other tech professionals among some of the most in-demand workers in the Australian economy over the past few years.
The labour market remains incredibly tight, and despite the recent layoffs, it is too early to declare an oversupply of top-level tech experts.
But with growth-at-all-costs no longer championed by investors, Australian tech firms have an opportunity to secure talent inaccessible over the past few years.
Speaking to SmartCompany, Anear says workplace operations platform and tech unicorn SafetyCulture has flipped from a cash-burning growth period towards profitability, giving it an “infinite runway” to carry on its operations — and the potential to cherry-pick staff where required.
“We see a really good, strong talent market now, where it’s been very lean the last five years,” Anear said.
“Now all of a sudden, you’ve seen that market reverse, where employers now have a lot more choice: a lot more people applying for jobs, and the talent pool is really opened up.”
The reshuffling means the suitability of candidates who are applying for open roles is increasing, he added, including candidates who had previously spent years in one role.
“So all of those things are very positive for SafetyCulture, and we see this is a period where we will double down on our growth, and still run a very efficient business, but we will certainly continue to grow.”
SafetyCulture has around 500 Australian staff. It now operates six offices, spanning its headquarters in Sydney and its traditional home of Townsville, through to Manchester, Paris, Amsterdam, and Kansas City, servicing more than 70,000 different teams worldwide.
While more talent may be looking for a new role than in prior years, expanding any further will require some hard decisions, Anear added.
“It’s a balance between, ‘Yes, there’s more talent, there’s better talent around, let’s hire some people’, but at the same time, ‘Let’s not lose that discipline,’” he said.
“It’s really important for innovation. Because if you get fat and lazy and complacent, then you don’t get to innovate.”
Senior Business Journalist
Focused on the small business sector, David’s work covers the political, regulatory, and economic issues facing Australian entrepreneurs. Prior to joining SmartCompany, he was a reporter for Business Insider Australia. You can follow him on LinkedIn.
