How to Prepare for a Recession and Mitigate Its Impact

Author: Jennifer Carsen

While the full implications of the coronavirus (COVID-19) pandemic are yet unknown, the economy may continue to experience a number of business downturns, periods of slow growth, pullbacks, "flash recessions," or recessions. Proactive, advance planning by HR can help businesses weather the worst of the storm while preserving as many jobs as possible.

Economic declines are difficult times for an employer, both financially and emotionally. When hard choices need to be made that affect the lives of many people, a head-in-the-sand approach serves neither the business nor its employees.

Here are five practical steps HR can take to reduce costs, maximize opportunities and ensure all resources are used to maximum effect in preparation for a possible recession.