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.
