Before COVID-19, there were more jobs available than people looking for work. In my 10 years of recruiting experience, it was the strongest and most candidate-driven market I have ever seen.
Now it’s the opposite.
In the course of one month, hiring freezes and large-scale layoffs have caused an incredibly high rate of unemployment. The effects of COVID-19 on the entire world have been staggering. According to Pantheon Macroeconomics, economic growth in the United States will shrink at least 10% between April and June, threatening a nationwide recession.
What does this mean for job seekers?
The way we work has to change for the foreseeable future. Unless the role qualifies as an essential service, all work must be completed remotely in order to maintain overall health and safety.
Hiring freezes mean fewer companies will hire. Job seekers no longer have the luxury of choosing between multiple companies or negotiating higher salaries. Some people will remain unemployed for longer, creating an economic strain for families. The amount of competition for roles will increase as multiple candidates seek consideration for the same position.
But it’s not all bad news. In times of financial crisis, finance and accounting professionals are critical for a company’s success. Scenario modeling, budgeting/forecasting, and strong financial reporting – finance and accounting professionals can support companies through any crisis from anywhere in the country.
What does this mean for CEOs and business owners?
For the next few years, the job market will turn in your favor. You will have more candidates vying for the same position within your company. More applicants for each position means you have a larger talent pool to pick from. Negotiating power will rest largely with you and your hiring managers, too.
This larger pool of available talents means you’ll be able to have your pick of candidates.
If you’re hiring for your finance and accounting team, here are some questions to think about:
- What are the cash flow implications for my business in a down economy?
- Who can help me better understand how much runway my business has?
- When would it make sense to hire again?
- What finance hire makes the most sense during a recession?
- Is it possible to leverage someone who has experienced an economic downturn previously and knows how to maintain a business?
Where can I turn now, as either a business owner or a finance and accounting professional?
Sometimes, it’s presumptuous to point out how the company you work for can solve a problem in a blog post. This time, I don’t think it is.
In this crisis, Paro is the solution for both job seekers and business owners. Paro enables accounting/finance experts to control every aspect of how they earn a living:
- Remote work – literally work from anywhere
- Determine for yourself when you need to take on a project and earn an income
- Control your wages in the form of a competitive pay rate
- Receive opportunities to work on projects that are challenging/enjoyable
And Paro can support business leaders and provide the right solutions in this time of need:
- Financial Analysts: Experts who can beat up numbers in Excel to better understand cash flow implications, perform P&L analysis, and have thoughtful conversations with business leaders to provide guidance with decision making.
- CFOs: Experts who can leverage banking relationships and provide financial due diligence.
- Paro’s experts ramp up in days, not weeks, because they already understand your business.
- For any business, time is money (especially in today’s economic climate). Only get the amount of support you need.
Pre-COVID-19, it was estimated that at least 50% of the workforce would work in a remote capacity by 2025. It’s my opinion that, because of this collective experience, we may see that timeframe shrink closer to 2023. The silver lining for Paro, our clients, and our network of experts is that our business model will continue to empower both employers and employees—regardless of how the job market is behaving.