Problem #3 (Uncertainty)—The U.S. economy isn’t in the greatest shape right now. Depending on what industry and niche you work, there might not be that many direct-hire job orders at the moment. That’s more than enough to make a recruiter jittery. Will your clients institute a hiring freeze? If they do, should you tough it out or try another niche? How do you prepare for the worst-case scenario, should it transpire? And just what the heck would the worst-case scenario entail? The questions just never seem to end.
Contracting Solution—During a down economy, companies are more likely to hire contractors to finish projects and meet deadlines. And they can do it even if a hiring freeze has been imposed. So while some recruiters are shut out of companies, those who place contractors will still be making money. Hardly seems fair . . . to those who aren’t making the contract placements, that is. And let’s not forget the “money coming in every month” factor. That’s big when you’re talking about a recession.