Recession And Layoffs... Or Not?
Headlines say the US economy is headed towards a recession and that nobody is hiring.
What do the experts say?
Dr. Tyson of UC Berkeley believes the US economy is resilient and will bounce back from the current downturn. She argues that the layoffs in big tech are a temporary phase and that these companies will resume hiring by 2024.
Prof. Shiller of Yale has a more pessimistic view. In his view, the US economy is headed towards a recession and the big tech layoffs are a sign of a larger economic downturn.
Dr. Reinhart of the World Bank has a mixed view: while the US economy might be headed towards a recession, it is not a foregone conclusion. She argues that the future ultimately depends on many factors, including government policies and global economic trends.
Where do we stand at DSC?
Things certainly look volatile from a macroeconomic perspective. But as seasoned Executive Recruiters, we observe plenty of opportunity out there in terms of hiring. From our vantage point, the market is hot and competitive.
Thousands were laid off by big tech in 2022. But they will be fully scooped up in 2023 by well-funded hypergrowth SMEs who haven’t stopped hiring.
By 2024, big tech is bound to realize cutting their workforce by 5-10% while maintaining revenue targets and workload is just not sustainable. They will resume hiring again.
The job market isn’t slowing down anytime soon. Talent doesn’t remain available very long.