India’s unicorn startups – valued at over $1 billion – are not just shaping the country’s digital economy but also redefining benchmarks in employee compensation. The rise of the Indian unicorns has been remarkable in recent years.
While investors often focus on revenue and profitability, a company’s spending on employee benefits is a crucial indicator of its commitment to talent and long-term sustainability.
Based on the latest financial data, we analyzed how much India’s unicorns are investing in employee wages and benefits, offering insights into industry trends, hiring patterns, and the broader impact on employees. The analysis covered multiple Indian unicorns to provide comprehensive insights.
Employee wages and benefits – covering salaries, ESOPs, PF contributions, director remuneration, and more – highlight a company’s strategic investment in its workforce. We have examined filings from 116 Indian unicorns to rank the biggest spenders on employees. These Indian unicorns are setting new benchmarks in employee spend.
However, filings for 5irechain, Polygon, CoinSwitch Kuber, InMobi, and Hasura were unavailable, likely due to offshore parent entities or LLP structures. Hence, they were excluded from the analysis.
Top 10 unicorns with the highest employee spend:
Paytm(FY24): ₹4,589 cr
PhonePe(FY24): ₹3,603 cr
Byju’s(FY22): ₹3,552 cr
Zoho(FY23): ₹2,722 cr
Citius Tech(FY24): ₹2,226 cr
Swiggy(FY24): ₹2,012 cr
Fractal Analytics(FY24): ₹1,833 cr
Zomato(FY24): ₹1,659 cr
PolicyBazaar(FY24): ₹1,644 cr
Freshworks(FY24): ₹1,595 cr
Note: We have taken the latest available financials for unicorns where FY24 numbers have not been filed.
Key Trends & Insights
1. Fintech and Consumer Tech Lead Employee Spending
- Paytm (₹4,589 cr) and PhonePe (₹3,603 cr) top the list, showcasing fintech’s reliance on a vast workforce to drive operations, compliance, and customer acquisition.
- Consumer tech firms like Swiggy (₹2,012 cr) and Zomato (₹1,659 cr) continue to invest significantly in employees, underlining the labor-intensive nature of their business models.
2. Edtech and SaaS Maintain High Employee Investments
- Despite challenges in the sector, BYJU’s (₹3,552 cr) remains among the top spenders, likely due to its large teaching and sales force.
- Zoho (₹2,722 cr) and Freshworks (₹1,595 cr) highlight the high employee costs associated with scaling SaaS businesses globally.
3. Healthcare and Deep Tech Startups Show Rising Trends
- Citius Tech (₹2,226 cr) and Fractal Analytics (₹1,833 cr) reflect the increasing demand for specialized talent in AI, healthcare, and analytics among Indian unicorns.
- Companies like Innovaccer (₹272 cr) and Molbio (₹49.73 cr) indicate steady investment in talent, supporting growth in health tech.
What this means for employees & job seekers
If you’re working at or applying to one of these Indian unicorns, here’s what you should consider:
Higher employee benefit expenses indicate a company that invests in its workforce, meaning better salaries, bonuses, and perks.
Key Takeaway: Fintech and SaaS firms are currently the most lucrative for engineers and business professionals, given their high spending per employee.
The future of employee spending in Indian unicorns
As the Indian startup ecosystem matures, employee benefit expenses will increasingly reflect financial discipline rather than just expansion among Indian unicorns.
- Fintech & SaaS will continue high-value hiring as competition for tech talent increases.
- Edtech’s salary bubble may shrink as companies focus on streamlining operations.
- Quick commerce & e-commerce will keep growing, but hiring will be tactical rather than reckless.
Stay tuned for more in-depth analyses and insights on the latest trends in the startup world.
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