{"id":4116,"date":"2022-07-26T16:00:48","date_gmt":"2022-07-26T21:00:48","guid":{"rendered":"https:\/\/www.employco.com\/blog\/?p=4116"},"modified":"2022-08-02T16:52:11","modified_gmt":"2022-08-02T21:52:11","slug":"the-hr-side-of-preparing-for-a-recession","status":"publish","type":"post","link":"https:\/\/www.employco.com\/blog\/2022\/07\/26\/the-hr-side-of-preparing-for-a-recession\/","title":{"rendered":"The HR Side of Preparing for a Recession"},"content":{"rendered":"

Employment trends expert Rob Wilson weighs in on how employers can prepare for a recession <\/em><\/p>\n

\"Recession\"<\/p>\n

While many people were encouraged by the positive jobs report at the beginning of the month, other experts say that we should brace ourselves for the possible reality of another recession.<\/p>\n

\u201cThe fact that we added so many jobs in June is wonderful news, but it can also be very misleading,\u201d says Rob Wilson of Employco USA, an employment solutions firm with locations across the country. \u201cI think part of the reason why we gained so many jobs at the start of the summer is that many college-aged kids and young people took summer work, but when fall hits, I think we may have disappointing numbers again.\u201d<\/p>\n

<\/p>\n

Wilson says that the HR department will be the first place where the pain of a recession will be felt, but it can also be the first place where we safeguard against the worst of an economic downturn.<\/p>\n

\u201cIt\u2019s easy to feel powerless in a recession, especially for people who work in staffing and human resources,\u201d says Wilson, \u201cHaving to let go of employees or worry about making payroll can be incredibly draining but the good news is that there is a lot we can do on the HR side to help prepare for a recession.\u201d<\/p>\n

Below, Wilson shares his top tips for how HR departments across the country can weather a recession:<\/p>\n

Streamline work processes. <\/strong>\u201cIt might be tempting to cut costs, such as by avoiding investing in any new technology or software – but right now is the perfect time to look for I.T. solutions. Although it might cost more at the outset, it\u2019s going to save you a lot of money in the future if you can simplify workplace tasks and absorb certain positions that might no longer be needed.\u201d<\/p>\n

Reduce bonuses and raises, not salaries. <\/strong>\u201cWhen a recession hits, it\u2019s tempting to knee-jerk and start lowering wages, especially for new hires,\u201d says Wilson. \u201cThis can backfire, especially as new hires discover that they are being paid less than employees with the same experience and background.<\/p>\n

Instead, look to merit-based bonuses and performance reviews. Rely on indisputable metrics to help you reward the employees who have earned their bonuses and raises, instead of just carelessly implementing them. It\u2019s not about paying certain employees any less, but about rewarding the ones who are truly doing the lion\u2019s share of the work.\u201d<\/p>\n

Beware of constant layoffs. <\/strong>\u201cYou don\u2019t want staff who are always walking on eggshells and afraid that they will be the next one to be let go. If layoffs are in your future, do it in one large wave rather than a bunch of small waves that will keep all of your employees in fear and on edge. This is not an effective way to manage staff and keep people motivated and doing their best work. One group layoff is preferable to death by a thousand cuts.\u201d<\/p>\n

Look to outsourcing. <\/strong>\u201cOutsourcing can be a tricky line to walk,\u201d says Wilson. \u201cYou want your permanent employees to feel valued and supported, but the truth is that outsourcing can be a goldmine of opportunity, especially during a recession. The best workers are going to have options, and they know this: So you need to make your workplace a desirable option, not at the expense of your existing employees, but in a way that is desirable for contracted employees who are seeking flexible opportunities for advancement.\u201d<\/p>\n

For more on this topic, please contact Rob Wilson at\u00a0rwilson@thewilsoncompanies.com<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"

Employment trends expert Rob Wilson weighs in on how employers can prepare for a recession While many people were encouraged by the positive jobs report at the beginning of the month, other experts say that we should brace ourselves for… <\/p>\n

Continue reading →<\/span><\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[7],"tags":[],"class_list":["post-4116","post","type-post","status-publish","format-standard","hentry","category-hr-solutions"],"featured_image_src":null,"author_info":{"display_name":"Employco USA","author_link":"https:\/\/www.employco.com\/blog\/author\/employcousa\/"},"yoast_head":"\r\nThe HR Side of Preparing for a Recession - Employco Blog<\/title>\r\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\r\n<link rel=\"canonical\" href=\"https:\/\/www.employco.com\/blog\/2022\/07\/26\/the-hr-side-of-preparing-for-a-recession\/\" \/>\r\n<meta property=\"og:locale\" content=\"en_US\" \/>\r\n<meta property=\"og:type\" content=\"article\" \/>\r\n<meta property=\"og:title\" content=\"The HR Side of Preparing for a Recession - 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Employco\u2019s newest team member: Rebecca Ceja, HR Coordinator \u2013 a large portion of her responsibilities include providing 2 days of onsite human resources support for one of Employco\u2019s clients at their\u2026","rel":"","context":"In "Company News"","block_context":{"text":"Company News","link":"https:\/\/www.employco.com\/blog\/category\/company-news\/"},"img":{"alt_text":"Rebecca Ceja","src":"https:\/\/i0.wp.com\/www.employco.com\/images\/blog\/Blog_Employco_RebeccaCeja.jpg?resize=350%2C200","width":350,"height":200},"classes":[]},{"id":3137,"url":"https:\/\/www.employco.com\/blog\/2020\/09\/12\/how-the-2020-election-will-impact-minimum-wage-and-job-security\/","url_meta":{"origin":4116,"position":4},"title":"How the 2020 Election Will Impact Minimum Wage and Job Security","author":"Employco USA","date":"September 12, 2020","format":false,"excerpt":"HR specialist discusses how voters could alter minimum wage for millions of Americans Earlier this week, presidential candidate Joe Biden took to Twitter to share his proposed changes to minimum wage if he is elected, including ending tipped minimum wage and raising the minimum wage to $15\/hr. In addition to\u2026","rel":"","context":"In "Human Resources"","block_context":{"text":"Human Resources","link":"https:\/\/www.employco.com\/blog\/category\/human-resources\/"},"img":{"alt_text":"Election 2020","src":"https:\/\/i0.wp.com\/www.employco.com\/images\/blog\/Blog_Presidential-Election-2020.jpg?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]},{"id":2570,"url":"https:\/\/www.employco.com\/blog\/2019\/06\/11\/the-myth-of-the-summer-job-why-this-american-tradition-is-disappearing\/","url_meta":{"origin":4116,"position":5},"title":"The Myth of the Summer Job: Why This American Tradition is Disappearing","author":"Employco USA","date":"June 11, 2019","format":false,"excerpt":"Employment expert explains why most teens won\u2019t be working the hot-dog stand this summer A Pew study recently revealed that the number of teens with summer jobs has been on a steady decline for the last 2 decades. 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