Why Is Ukraine a Hotbed of HR Tech?

In researching HR tech, I keep coming across startups founded in Ukraine. There are companies like Party.Space (which creates 3D virtual events), Skyworker (an app to help tech workers effortlessly get their next job),  NuWork (which helps companies improve the screening process for blue-collar jobs), and PeopleForce (an all-in-one HRIS suite). Other companies are listed at the end of this article. 

Meanwhile, outside of HR, there are the more famous Ukrainian tech startups such as GitLabPeople.ai, and Grammarly.

Why are there so many tech startups in Ukraine? 

Great depth of technical tale. One thing the old Soviet system excelled at was good technical education. Ukraine has kept that educational excellence and generated a lot of technical talent. According to research by Skyworker, there are 220,000 tech professionals in Ukraine, and the number is growing by about 10,000 each year. Furthermore, English fluency is good; 57% of candidates in the Skyworker system have upper-intermediate fluency in English. As a result, it’s relatively easy to assemble the talent you need to launch technology startups.

The processes for hiring technical talent need to be improved. Around the world, both companies and tech workers find the hiring process frustrating. This creates a need for solutions in an area that technology entrepreneurs are familiar with and eager to fill. Many of the HR tech startups in Ukraine focus on improving the process of hiring technical talent.

Motivation. The economy of Ukraine is not that big or that strong. Entrepreneurs located there are eager to develop businesses that can evolve to play in the global marketplace. That said, companies can do very well in the regional market. PeopleForce founder Andrew Cetinic moved from Australia to Ukraine to launch an HRIS company aimed at meeting the needs of the CIS countries (essentially, ex-USSR countries).

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The evolution of a start-up ecosystem. A start-up ecosystem has evolved in Ukraine to support new businesses. For example, a few years ago the Ukrainian Startup Fund was established to support pre-seed and seed startups with grants. In 2021 Ukraine hosted a pavilion at the WebSummit tech conference. And there are dozens of local tech communities like Silicon Drinkabout Kyiv. Also, the tax and regulatory regimes in Ukraine make it easy to launch a startup. And finally, there is excellent support from the nation’s universities.

Finally, the HR tech field in Ukraine is more broadly a reminder of how global the world is and how much entrepreneurial capability exists outside of the familiar places like the U.S., Japan, Germany, the U.K., and Canada. It’s a great thing to see so much talent flowering around the world, that’s worthy of celebration. 

A Collection of Ukrainian HR Tech Companies

Company Description
4HIRES Provides job-seekers with a personal career agent who takes care of all the tasks associated with finding a job
Casers A unique service where individuals can work on real problems for companies to build their work experience
Hirio Automates core parts of recruitment, including screening, coordinating, and assessment of candidates with the help of advanced AI technologies
Hurma Automates HR processing and recruitment
Morbax HR Automatically sources, pre-selects, and evaluates candidates before an interview and shortlists the best-matched candidates
Nuwork Automates routine recruitment processes
Party.Space Hosts stunning online team parties or full-fledged corporate celebrations with virtual 3D party spaces
PeopleForce Provides all-in-one HRM software
Skyworker  Makes tech hiring faster by creating a happy place for tech candidates
StudyDive A platform for employee development plans
Talantly Helps hi-tech employers scale up their recruitment by relocating candidates from Eastern Europe and helps east-European tech professionals find the best job opportunities in Europe 

 

David Creelman is CEO of Creelman Research. Based mainly in Toronto and partly in Kuala Lumpur, he’s best known for his research on the latest issues in human resources.

He works with think tanks such as Talent Tech Labs (New York), Works Institute (Tokyo), Workforce Institute (Boston) and CRF (London). He’s collaborated with leading academics such as Henry Mintzberg (leadership development), Ed Lawler (“Built to Change”) and John Boudreau (future of work).

His books include The CMO of People: Manage employees like customers with an immersive predictable experience that drives productivity and performance with GrandRound’s CHRO Peter Navin; and Lead the Work: Navigating a world beyond employment with John Boudreau (USC) and Ravin Jesuthasan (Willis Towers Watson).

You can connect to Mr. Creelman on LinkedIn

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