*How are Employers Dealing with Economic Headwinds?

We’ve been on notice of a potential for recession for some time now. In a recent study (June 2025) by a nationwide staffing firm, Express Employment, 80% of a 1000 hiring managers polled said they are bracing for ongoing downturns in the economy. About half of those respondees reported that a “recession” will come next year.

Here’s More…

  • 83% of respondents said they had already taken proactive steps to prepare for an economic downturn – 45% were cutting costs, 29% were streamlining their hiring process, 26% were starting to do more cross training as a way to get their employees ready to do more with fewer employees. Some have paused hiring altogether – with 23% deciding not to fill open roles and another 20% already into lay off mode. 
  • And these changes were coming at a cost. 61% of the companies surveyed reported that planning for a downturn took time away from long-term organizational improvements. 58% found it necessary to overhaul the strategic plans they had laid out for themselves walking into 2025.
  • 33% of respondents reported serious concerns about their ability to survive a serious recession. But on the flip side 58% saw a recession as an opportunity grow not a threat.

What’s the takeaway?

Concerns about a recession amongst the small to mid-sized business community is real…but the response of any individual company depends on how prepared a company will be to handle the downsides of a downslide. We’re getting confirmation that the recommendations we give employers, to not just react to economic shifts, but to address them by proactively using more flexible staffing models, is a solid recommendation.

PACE Staffing Network is one of the Puget Sound’s premier staffing /recruiting agencies, helping Northwest employers find and hire employees based on the “right fit” for over 50 years.

A 5-time winner of the coveted “Best in Staffing” designation, PACE is ranked in the top 2% of staffing agencies nationwide based on annual surveys of customer satisfaction. PACE services include temporary and contract staffing, temp to hire auditions, direct hire professional recruiting services, Employer of Record (payroll) services, and a large menu of what we call HIRING HELP that allows clients to purchase a variety of candidate screening and assessment services on an ad hoc basis, augmenting your internal staffing or hiring resources.

To learn more about how partnering with PACE can make a difference to how who and how you hire, contact our Partner Services and Solutions team at 425-637-3312, email us or visit our website.

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