WorkStep is a tech startup that has developed a hiring platform designed to alleviate the current labor shortage across the supply chain industry. The company recently announced the close of its Series B funding round to scale up its business and further develop the company’s software.
WorkStep Hiring Platform and Growing Business Demand
Tech startup WorkStep uses a unique matching program that immediately connects prospective employees with business owners. By screening candidates’ prior work experience and track record, the company takes preventative measures that reduce employee turnover. Additionally, the tech startup eliminates menial tasks by offering automatic interview scheduling tools and a candidate management homepage. This allows business owners to directly compare candidates to one another and make informed decisions on who they choose to hire.
For employees, WorkStep screens all companies hiring on its platform to ensure only quality supply chain companies that are actively searching for new workers are displayed. Additionally, the company will notify every applicant on the status of the jobs as steps are taken by the hiring manager.
Furthermore, the tech startup provides users with tools for better employee retention. By sending out surveys broken down into different categories, business owners can see directly where improvements can be made. As time passes, users can directly measure the effect that any changes made may have had on employee satisfaction and retention.
WorkStep has continued to see significant demand for its product, especially as labor shortages have continued to persist in the supply chain industry throughout the COVID-19 pandemic. Over the last 12 months, the tech startup has experienced a 3x year-over-year increase in revenue as more supply chain companies begin using the hiring platform.
The company is a part of the growing global online recruitment market estimated to be worth over $29 billion in 2021. The market is projected to reach a total value of over $47 billion by 2028 at a compound annual growth rate (CAGR) of 7.1%.
WorkStep Funding Round and Future Company Plans
In its Series B funding round, WorkStep raised $25 million in capital. The funding round was led by NewRoad Capital Partners with participation from Prologis Ventures, Engage VC, FirstMark Capital, Social Capital, Latitude Ventures, and Quiet Capital. The tech startup has now raised a total of $42 million.
WorkStep plans to use the new funding to hire a larger team and scale its current software to handle a larger number of users. The company also plans to expand its hiring capabilities and retention on the platform to provide more value to supply chain companies in the future.
When commenting on the latest funding round, co-founder and CEO of WorkStep Dan Johnston said, “The supply chain labor market is broken. Workforce leaders are caught in a vicious cycle of spending big to recruit talent, only to see their existing team churn and new hires walk out the door. At WorkStep, we’re fundamentally transforming how businesses find and retain frontline teammates by empowering workers to provide actionable feedback, enabling companies to identify turnover drivers, and most importantly, helping leaders act on the data to improve frontline satisfaction and outcomes."
Tom Price is a writer focusing on entertainment and sports features. He has a degree from NYU in English with a minor in Creative Writing. He has been previously published for Washington Square News, Dignitas, CBR, and Numbers on the Boards.