Publish Date: February 17, 2023
Author: Seubert
Tags: Blog - SeubertU

How HR Can Help Organizations Become Recession-proof

In 2023, it’s critical for employers to consider how to prepare for economic uncertainty and build resilient, prepared organizations. Here are strategies HR teams can use to help prepare for and minimize the impact of a recession on their organizations.

Prioritize Employee Engagement

Employee engagement and experience can be vital leading up to and during a recession. HR teams have found success in increasing engagement by listening to employees and addressing their concerns. In addition, tools and platforms—such as social media, professional networks, and recognition and reward programs—can provide organizations with new ways to strengthen employee engagement. Such measures can help maintain morale and employee productivity.

Promote Transparency

The possibility of a recession can bring uncertainty. Because employees will likely be concerned about their futures, their employers’ long-term viability and potential changes to their work, HR teams must find ways to keep employees informed about the organization’s performance and potential changes without fostering worries. HR teams can facilitate transparency by meeting regularly with employees, conducting town halls and providing frequent written communications.

Rethink Compensation and Benefits

Many employers responded to the recent labor shortages by increasing salaries, providing substantial bonuses and expanding employee benefits and perks. However, with the possibility of a recession on the horizon, HR teams may need to rethink their attraction and retention strategies. For example, they may need to plan out wage increases strategically and focus on maximizing employee benefits.


Organizations cannot always avoid the impacts of a recession; however, HR teams can be a key factor in determining how organizations weather this challenge.