Thursday, March 11, 2010
I have been an executive recruiter for just under 23 years and have seen 4 economic downturns. This latest one was by far the worst. Nonetheless, when this one started I noted some similarities. Some of the poorer run companies were go out of business and flood the candidate pool. Other companies would start a series of lay offs further flooding the candidate pool. I also started to hear from my clients complaints about reduction in staff and the impact on gross margin. Now as things are beginning to recover and get better the companies that tried to expense their way to profitability are finding that the honeymoon is over and the cuts that were made went too deep. The hiring boon is about to take place and the flooded candidate pool although not dry is certainly a lot lower than expected.