Staffing under Difficult Economic Conditions
When a company’s performance declines or when a widespread economic recession takes hold, employees and companies alike can face an uncertain future. Employers will not be able to give as many perks as they did in the past. They may need to perform layoffs. The relationship between the company and its employees may become strained. Recruiting firms can be hurt in these conditions because there are fewer jobs being posted. However, an economic downturn could have hidden benefits for staffing firms.
Recruiters’ Experience Matters
A recruiter’s value lies in their connections and expertise. Their unique role gives them a particular perspective on the job market. Their industry-wide connections can help them deal with employees and companies alike. Recruiters understand the potential workforce and how to meet companies’ needs. This becomes even more important in a difficult economy where people may be applying for jobs that they are not well-suited for.
When a company needs to run on lean staffing conditions, they will need to have the right people on board. An experienced consultant will be able to help a company reshape its workforce for efficiency even in the most difficult economic conditions.
A successful recruiter is well-connected in the industry. These relationships take on more importance when a recession hits or when an industry needs to institute a hiring freeze. Job candidates and clients need to know what is happening and what they should do to prepare themselves for future jobs. Recruiting firms will receive an influx of concerned messages about job security, looking for a new position in the event that they are laid off from their current job. Companies will reach out to make sure their best employees stay on while business conditions are in flux. Recruitment firms will likely have to do some hand-holding on both sides. Recruiters will be able to present an industry-wide view of how the current economic conditions are affecting the job market.
Making Difficult Choices
When companies realize that they must start the process of significant layoffs, they often ask for help providing career counseling and advice to the employees they will be letting go. The connections that recruiters make during this difficult time will lead to future opportunities when the economy improves. Recruiters should not assume that companies do not need their services when they are undergoing layoffs. The professional relationships built at this time can help everyone when the economy is back to normal conditions.
Directing Candidates to Contract Work
Even during economic recessions, companies need to keep the necessary positions filled. Since full-time employees carry a great deal of overhead, many companies look to recruiting firms to fill jobs on a contract basis. One of the main reasons that companies hire contractors instead of full-time employees is lower costs. Contractors are not paid as well as full-time employees and they are often not eligible for benefits, but their jobs remain important to the company as a whole. Applying for contract positions means that employees can keep a foot in the door through difficult economic conditions.
Possibilities of a Recession
While the current economic problems are severe, they have not yet met the criteria of a recession. However, stock prices, unemployment, and reduced corporate profits could lead to a recession in the future. Recruitment firms need to be ready with a new toolbox for supporting their clients and giving companies the opportunity to hire quality workers at a reasonable salary.
Temporary employees can be a huge help to companies in difficult times. When costs need to be cut, temporary employees can be let go without incurring benefits or severance package problems. Letting temporary workers go does not have as great an effect on morale as letting full-timers go.
Advice for Job Seekers
Many job seekers who have been recently let go understand the difficulty of getting a new position in this economy. These job seekers should work closely with recruitment firms to make sure that they are aware of all of the opportunities in their local area. Having a realistic view of the economy helps, but employees should understand that companies still need workers, even now. There may be hidden opportunities in a recession, especially if employees are prepared to take on temporary positions.
Uncertain Times and Improving Conditions
Even though the economy has been damaged, there remains hope for future improvements. Recruiting firms like firstPRO have the ability to meet companies’ needs no matter how troubled the economy has become. Focusing on how to meet current and future needs, a recruiting firm can become an important part of a company’s human resources strategy.
Eventually the economy will recover, and recruiting firms that have built strong relationships with clients and businesses alike will have an easier time transitioning into better conditions.