Economic Slowdown Affects Your Job Search
Can Employees Prepare for an Economic Slowdown in Business?
Whether you are a senior executive with a lofty title and compensation to match or the newest customer service representative, you should stay up to date with national, sometimes international, economic conditions. Don’t worry; it’s not necessary to spend hours pouring over thousands of words in financial or economic journals. Just stay up to date, even with local newspapers, cable news channels, or trade journals.
If you’re contemplating a job search in the near future, knowing that a boom or slowdown may be coming can give you an edge on your decision. Even if you’re not considering a job change, you need this information to evaluate and assess your current position. An economic slowdown may place your current position at risk as many employees have learned.
Should you be thinking about entering the job search market, you should understand the effects of an economic slowdown or projected recession. As with all downward business cycles, there will be difficult realities to face – layoffs, cutbacks, operating changes, and/or bankruptcies. At the same time, these conditions also will present some opportunities for employees and companies to succeed.
The key is to avoid being surprised. Be aware, knowledgeable, and as prepared as possible to face these conditions. There is nothing you can personally do to stop or change these business trends. They have happened in the past, will happen in your career, and will continue in the future, even after your career is over and you’re watching the world from your waterfront retirement home. Pretend you’re a Boy Scout and use their time tested motto: Be Prepared.
How a Job Search Is Affected During an Economic Slowdown
One reality never changes in the world of job searches in economic slowdown periods. You should plan on your search taking longer than in normal or expansion years. You don’t have to be an Economics major to understand that the basic theory of supply and demand always works – for the betterment or detriment of people and companies.
If the demand for something goes down and the supply stays the same or increases, the “price” goes down. If demand increases while the supply stays the same or decreases, the “price” goes up. Translated to the job market, demand for employees typically goes down during periods of economic stagnation or slowdown, while the supply of candidates either remains the same or, because of layoffs and cutbacks, increases. With more candidates to select from, companies tend to take longer to evaluate and decide which people to hire. Depending on the level of the slowdown, the “price” (compensation package) may even go down from former levels.
Here are some things to consider before you head for the nearest bridge to jump from.
- It’s not personal. When these conditions exist, it’s often easy to start believing that you’re not the superstar you thought you were. Not true. The added time, analysis, and consideration of potential employers is typically a function of having more qualified candidates to consider.
- Don’t give up your principles, but be prepared to be “flexible”. Assuming you’re not desperate to have a job, any job, maintain your self confidence and unwavering belief in your professional ability. At the same time, be realistic. You may or may not be offered the same or higher compensation that may have been available only months before your job search. Things can change quickly in the world of business, for better or worse. If the opportunity is exactly what you were seeking and the ability to progress is evident, go for it. Even if the compensation is less than you believe the job is worth.
- Be prepared to go the “extra mile”. There is a “rule” that always applies. If this sounds new to you, please adopt it as your “mantra” as it might pay you huge dividends during your career. In your position, give more than you’re paid to give and soon, you will be paid more than you’re asked to give. There is not a successful business professional on the planet that would argue with this philosophy as it always works. It’s never more important than in times of economic turmoil.
- Look for new opportunities. Often, during economic difficulties, companies try different approaches to improve business. These operating or marketing changes sometimes create new opportunities for employees. Your skills and expertise may be perfect for one of these new openings.
If you’re a former athlete, you should understand the mentality you need to maintain during a job search during an economic slowdown. The best hitters in baseball forget that they haven’t had a hit in a week. The next time they go to the plate, they believe they are the best who ever lived. The great basketball player forgets they’ve missed 15 shots in a row. They “know” their next shot will go through the basket.
This same positive mentality serves us well in our job searches, particularly in periods of economic slowdown. If you’ve not received an offer after the past few interviews, remember the company did not make a personal judgment on you or your skills. They simply decided on another candidate that they felt would be a better fit. They may be right and have done you a huge favor. At your next interview, you should still believe you are the best ever at your profession. That feeling will come across to the interviewer and will give you the confidence you need to succeed.
You still should remember that personnel budgets often “shrink” quickly during periods of economic slowdown. It’s not because of you or any shortcomings. These business cycles happen regardless of what we want or, certainly, what our employers would like. The key is to be aware of these conditions, preferably before they exist, and understand what they may mean for you.
Be prepared for a job search that may be longer than you believe is necessary. Look for new opportunities that may exist because of these conditions. Don’t take any rejection as a personal judgment of your expertise. Maintain your belief that you are the “best ever” at your job. Be ready to give all that you’ve got. This effort, although sometimes not immediately apparent, will not go unnoticed. Your career may actually accelerate during these negative economic periods. Be optimistic and go for the gold.