NEARLY 80 PERCENT OF AMERICANS FEAR FOR THEIR JOBS AMID A POTENTIAL LOOMING RECESSION, ACCORDING TO NEW NATIONAL SURVEY

With the Great Resignation in the rearview mirror, the Great Apprehension brings to light a widespread sense of job insecurity

ATLANTA, June 30, 2022 /PRNewswire/ -- With many economists warning of an impending recession, paired with inflation at a 40-year high, it's no surprise that three out of four American workers are fearful they will lose their jobs, according to a new survey from Insight Global, a national staffing services company. The survey, which was conducted in June 2022 among more than 1,000 American workers, reveals growing concern among full-time employees at all levels about job security, financial preparedness and communication transparency from company leaders.

With the first half of 2022 laser-focused on The Great Resignation, the latter half introduces The Great Apprehension where many American workers are hoping for the best but planning for the worst. Survey results revealed the following:

• 78% of employees expressed worry about losing their job if there is a recession, with almost a quarter (23%) of American workers indicating they are extremely worried about losing their jobs.
• Managers (49%) more often than non-management employees (34%) indicated higher levels of anxiety regarding losing their job if there is a recession.
• 56% of American workers say they don't feel financially prepared for a recession or say they don't know how they would prepare for a recession, with women feeling the most unprepared at 64%.

For those adults, especially older Millennials who were working during the Great Recession of the mid-to-late aughts, the thought of another recession triggers professional fears.  

• Among American workers who were employed when the Great Recession began, more than half (53%) say they still feel anxious about job security or say the fear of being laid off is often in the back of their minds. These fears are even more common among Millennials (60%), many who were in the early stages of their careers during the Great Recession.
• A quarter of American workers employed during the Great Recession (25%) say they have several backup plans prepared should they be laid off.

The survey's findings signal that the ball may be landing in employers' courts, with nearly nine out of 10 managers in the U.S. stating they would be likely to lay off employees should there be a recession. And employees' growing concerns for their jobs are making them more willing to take a pay cut to avoid a potential layoff.

• 87% of managers say they would be likely to lay off employees should there be a recession.
• More than half (54%) of American workers would be willing to take a pay cut to avoid being laid off if there were a recession.
• More working men (63%) than women (46%) in the U.S. would be willing to take a pay cut to avoid being laid off.
• Over half (52%) of American workers do not feel their job is recession-proof or say they are unsure if their job is recession-proof.

"It's unfortunate we're already seeing some companies turn to mass layoffs because I believe layoffs should be the absolute last resort," said Bert Bean, CEO of Insight Global. "Instead, I encourage leaders to consider other solutions, such as building a plan that avoids layoffs and helps you grow through a recession. Get your employee base executing on that, because when you bounce back from a recession, you'll need your people more than ever."

When the COVID-19 pandemic began in 2020 and it took its toll on the global economy, Insight Global committed to a "no layoff" policy, which Bean says it will continue in the event of another recession.

"I realize not all leaders have the will to do this, but if you do, you will be shocked and amazed by the performance of your people when they feel this kind of safety and loyalty," said Bean.

Workers are confident in their leadership's ability to lead them through a recession; however, trust in communication is lacking. 

• Nearly half of employees (47%) do not trust that their employer would adequately communicate its plans should there be a recession, and 66% of managers do not trust that their senior leadership would adequately communicate its plans should there be a recession.
• Two-thirds of managers are confident (67%) that the leadership at their organization could lead their organization through a recession, and 58% of employees in non-managerial positions indicate the same levels of confidence in leadership.

"As we're seeing in the headlines, even major companies that have experienced astronomical growth over the last several years are not immune to financial challenges," added Bean. "If a recession strikes, I'd hate to see that result in more layoffs. If your company hasn't established a recession plan yet, do it now, communicate it with your employees, and start acting on it."

Learn more about the survey results at www.insightglobal.com/blog/recession-anxieties.

Insight Global commissioned Atomik Research to conduct an online survey of 1,004 working adults in the United States, including 503 full-time workers in management positions and 501 full-time workers who are not in management positions. Survey participants worked in professions within primarily white-collar industries¹

The margin of error fell within +/- 3 percentage points with a confidence interval of 95 percent. The fieldwork for the online survey took place between June 10 and June 13 of 2022. Atomik Research is an independent creative market research agency.

Insight Global is a national staffing and services company dedicated to empowering people. We relentlessly pursue opportunities for others, because when we all work together, anything is possible. We specialize in sourcing information technology, accounting, finance, and engineering professionals, and delivering service-based solutions to Fortune 1000 clients. Our team spans across more than 64 regional offices throughout North America and has pledged to place more than 80,000 people in jobs in 2022. Insight Global's services extend far beyond just filling roles. In addition to staffing services, we provide culture consulting, diversity, equity and inclusion guidance, specialized health care staffing and resources, and an array of managed services designed to meet company's individual needs. To learn more about Insight Global, visit insightglobal.com.

SOURCE Insight Global

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