With signs of a looming recession, companies are struggling to decipher the direction of the economy. As a result, the hiring landscape is showing a bleak picture. Contrary to the hiring boom observed post-pandemic, businesses are starting to notice the impact of rate hikes and aggressive inflation.

According to Forbes, more than 46,000 employees lost their jobs in November 2022. The trend emerges as a continuation of layoff policies adopted by leading companies.

In such periods of uncertainty, it is natural for employees to have questions about their future. You want to take the right decisions to ensure that you’re able to thrive at work. Here are some steps you can take to recession-proof your career.

Gain New Skills

Acquiring new skills is essential for protecting your career against the potential negative effects of a recession. When an economic downturn occurs, businesses often face financial difficulties and may need to make cutbacks in their workforce. This can lead to job losses and make it harder for individuals to find employment.

Having a diverse range of skills can make you a more valuable and versatile employee, increasing your chances of being retained by your current employer or being hired by a new one. For example, if you have experience in multiple areas of your field, such as both marketing and sales, you may be able to take on additional responsibilities and fill in gaps left by colleagues who have been laid off.

In addition, developing new skills can also help you to stay competitive in the job market and adapt to changes in your industry. As technology and consumer preferences evolve, certain roles and skills may become obsolete, while others may become increasingly in demand. By constantly learning and updating your skill set, you can remain relevant and desirable to potential employers.

New skills can also help you delve into different areas of your field or even switch careers entirely. For instance, if your current industry is particularly vulnerable to economic downturns, such as the travel or hospitality industries, gaining new skills may enable you to transition into a more stable field.

According to a survey by the Society for Human Resource Management, 89% of employees learnt new skills to keep the jobs they already had.

Acquiring new skills is essential for protecting your career against the potential negative effects of a recession. Not only can it make you a more valuable and versatile employee, but it can also help you stay competitive and adapt to changes in your industry. It can even enable you to switch careers if necessary. By continuously investing in your own personal development, you can ensure that you are well-positioned to weather any economic storms that may come your way.

Network & Stay Connected

A strong network allows you to tap into a wealth of knowledge, resources, and opportunities that can help you navigate the challenges of a recession.

Networking allows you to connect with others in the industry who may have firsthand experience dealing with the impacts of a recession. This can provide valuable insights and advice on how to navigate the current economic climate and identify opportunities for growth and advancement.

A professional network can also provide you access to job opportunities that may not be readily available through traditional job search channels. In times of economic uncertainty, companies may be hesitant to advertise job openings or may be forced to reduce their workforce. However, if you have a strong network, you will learn about job opportunities through personal connections. This gives you a competitive advantage over those who are relying solely on job boards and recruitment agencies.

As per a Zippia report, approximately 70% of people get their current job through networking. It is due to the fact that 80% of jobs are not even listed on job sites, reiterating the point above. A seven-to-one ratio favors networking over other job-search methods.

Networking can also lead to higher quality job offers, according to a study by the Federal Reserve Bank of St. Louis. Due to your network's established relationships and connections, it's more likely that you'll connect with viable opportunities via referrals. A higher salary, more advanced positions, or better aligned job roles can be landed.

In a recession, you may face job loss or other challenges that can be emotionally and financially difficult to navigate. A strong network of colleagues and industry professionals can provide support, encouragement, and guidance to help you overcome these challenges and maintain a positive outlook.

Take Initiative

Taking initiative means proactively seeking out ways to improve your skills, knowledge, and experience to make yourself more valuable to your employer and less likely to be let go during a recession. This can involve attending workshops, conferences, and training sessions to learn new skills or seeking out additional responsibilities or projects that can showcase your abilities and value to the company.

A key factor in recession-proofing your career is to be open to learning and adapting to new technologies and trends in your field. This means staying up-to-date with the latest developments in your industry, and being willing to learn and use new tools and software to improve your productivity and efficiency. By being open to change and innovation, you will be better equipped to adapt to the changing needs of your company and stay relevant in your field.

A study by the World Economic Forum found that by 2025, over half of all workers (50%) will need to have skills that are not currently considered crucial to their job. This is why re-skilling is so important.

You should be proactive in seeking out additional opportunities for growth and development within your company. This can involve volunteering for additional projects, taking on additional responsibilities, and seeking out opportunities for mentorship or leadership roles. By taking initiative and demonstrating your willingness to contribute and grow within the company, you will be more likely to be seen as a valuable asset.

Keep a Positive Attitude

Having a positive outlook can help you remain resilient and adaptable in the face of challenging circumstances. During recession, it’s easy to become overwhelmed by negative thoughts and feelings, which can lead to anxiety, stress, and burnout. By maintaining a positive outlook, you can keep your mind and emotions in check, and remain focused on achieving your goals, even when the going gets tough.

When the economy is struggling, many people become risk-averse and closed off to new ideas and opportunities. A positive mindset, however, opens you towards new opportunities. This can be especially important if you're looking to change careers or start a new business during a recession.

Additionally, a positive mindset can help you build and maintain strong relationships, both professionally and personally. When you're positive and optimistic, you're more likely to be approachable and likable. This can be especially important during a recession, when many people are feeling stressed and anxious, and may be less likely to reach out and connect with others.

The Road to Becoming an Irreplaceable Asset

Recession-proofing your career can help you remain competitive in the job market, even during difficult economic times. You can make yourself more attractive to employers and improve your chances of securing employment by developing a wide range of skills and experience, and staying up-to-date with the latest trends and developments in your industry.

In order to become an irreplaceable employee, you must consistently demonstrate a strong work ethic and a dedication to achieving success for both yourself and your employer.

One way to become irreplaceable is to consistently deliver high-quality work. This means not only meeting expectations, but exceeding them whenever possible.This requires a willingness to go above and beyond in your job duties. It means taking on additional tasks or projects, even if they are outside of your normal job responsibilities. By showing a willingness to do whatever it takes to help the company succeed, you will demonstrate your value and make yourself indispensable.

These necessary steps can provide you with more opportunities for career advancement and growth. By having a career that is resistant to economic downturns, you can take advantage of opportunities that may arise during times of economic downturn, such as the ability to gain new skills and experience, or to move into new and exciting roles.