If you work hourly, the number of options you have for finding a new job decreases slightly. JobGet, a Boston-based startup that operates an hourly job search website with built-in social features, à la LinkedIn, is acquiring Snagajob, one of its rivals in the US market.
JobGet claims this will make it the largest jobs platform targeting hourly and frontline workers in the US, with a reach of 100 million people.
But to be clear, that’s not the user base; JobGet doesn’t disclose how many active users it has, other than to say it works with tens of thousands of customers and has helped secure millions of jobs. Snagajob says it has 3.6 million monthly active users and has filled 40,000 jobs with 14,000 employers.
Financial terms of the deal are not disclosed. But for context, JobGet was last valued at $440 million when it raised $52 million in 2022, per PitchBook. The database notes that JobGet also raised an undisclosed amount from Flow Capital this month, although JobGet disputes this. Flow and JobGet already knew each other: in June this year, JobGet acquired a recruitment software provider from Flow’s portfolio, called Wirkn, also for an undisclosed amount.
For Snagajob, the picture is a little murkier. The company has been around for 25 years (yes, dating back to the first dotcom boom) and had raised a whopping $387 million in total from investors including StarVest and Rho Ventures. But the last valuation of $178 million on PitchBook was from a decade ago, so it’s not clear how that compares to its current value.
As for why it has now been sold to JobGet, it is likely part of the inevitable consolidation in the sector.
In recent years, we’ve seen a flurry of activity among tech companies building social, recruiting, and management tools aimed at hourly workers.
Both Microsoft Teams and Meta’s now-defunct Workplace were pitched as tools for contractors, in part to differentiate themselves from Slack. Dozens of startups, including JobGet, have launched and raised tens of millions of dollars to target the frontline, salaried and hourly workers. Recent examples include $28 million for TeamBridge, $8.5 million for Bandana, $85 million for Fountain and $175 million for Wagestream.
That suggests a crowded – and likely overcapitalized – market, especially at a time when the entire game could suddenly change with AI. Furthermore, funding for later-stage startups simply isn’t as robust as it used to be.
That means more companies are working together to achieve better scale around the technology they invest in.
