Syndio, the leading workplace analytics platform with a mission to ensure fairness and equity are part of every employment decision, today announced it raised $50 million in Series C funding. Emerson Collective and Bessemer Venture Partners led the round, with additional investments from Voyager Capital. This was Emerson and Voyager’s third investment in Syndio, and Bessemer’s second. In total, Syndio has raised $83 million.
Syndio provides the only data-science powered software to enable companies to analyze and resolve pay equity issues due to gender, race or other comparisons, and to monitor it over time. Syndio’s platform is used by 200 companies including Nerdwallet, Nordstrom, Salesforce, and General Mills to measure the pay of over 2.6 million employees in the United States.
The new capital comes at a pivotal time of growth for Syndio and will help fund new product developments and hiring efforts to build an even greater platform to tackle workplace equity and meet the company’s growing customer demand. The company has tripled its annual recurring revenue every year for the last two years, and is forecasted to deliver a similar growth rate in 2022.
In the last year, Syndio has seen a shift in customer use cases. More than ever, customers are taking a proactive approach, analyzing workplace equity more regularly and within a broader scope. Before the murder of George Floyd in May 2020, only 50 percent of Syndio customers analyzed race. Today, nearly all (98%) analyze both gender and race. Nearly a third (30%) of Syndio customers have started analyzing pay every quarter or twice a year. Dozens of Fortune 500 companies use Syndio’s software because it reduces legal risk, helps attract and retain top talent, and it makes it easier for companies to understand why they may not be paying employees equitably, and how to fix it.
“Our commitment to advancing equity is captured in the belief that complex, systemic failures require different, modern approaches,” said Fern Mandelbaum, Managing Director Venture Investing, of Emerson Collective. “Syndio has a simple goal: make pay equity a reality for all employees.”
“Every day, the pressure from employees, investors, and governments grows to close persistent workplace gaps to ensure that companies achieve enduring success in a 21st century economy,” said Maria Colacurcio, CEO of Syndio. “The cost of ignoring these internal and external forces are clear: loss in brand power, increase in capital costs through employee attrition and inefficiency, and a collapse in morale. For the first time in history, technology exists to meet this moment and make workplace equity a foundational leadership principle. These equity analytics are being defined and pioneered by Syndio, and we’re thrilled to have Bessemer and Emerson’s continued partnership in fueling our growth.”
“At Databricks, we are understandably obsessed with data and finding the best ways to use it. Several years ago when we made a commitment to pay equity and to closing the pay gap, we set out to find the best, most data-centric, most unbiased way to analyze pay equity. Syndio was the obvious choice, and since starting to use the software last year we have gained a deep understanding of our pay equity and its underlying factors. The company provides not only the best software in the space, but access to experts and guidance as we move through our journey to pay equity,” said Databricks Chief People Officer Amy Reichanadter.
Half of Syndio’s executive team identifies as women, and two in seven are from historically excluded groups. Syndio was co-founded in 2017 by pay equity attorney and MIT PhD, Zev Eigen, who serves as the company’s Chief Science Officer. Colacurcio joined as CEO in 2018. Before that, she co-founded Smartsheet.com, a work collaboration tool for companies of all sizes. She has a proven track record of building successful companies with strong core values that are dedicated to its people and customers.