Headhunting in a Recession
How The Credit Crunch Is Affecting Top Level Jobs?
We are in the middle of an economic meltdown and it has affected every part of our personal and professional lives. The credit crunch has left thousands of people jobless and many other people are forced to work under severely restrictive conditions. It is no surprise that the credit crunch has also affected recruitment for top level jobs. While some impact is positive from the client’s point of view, most of the impact is adverse in nature.
More Supply than Demand
The norm so far, especially for top level jobs, has been that the demand has always been greater than the supply. However, in times of credit crunch a large number of companies are folding up leaving the top level employees jobless along with the others. In a scenario such as this, it has become very possible to find highly suitable candidates who are currently out of a job even at top level positions.
Instability in the Industry
The credit crunch has created a large amount of instability across industries. When large companies like Lehman Brothers and Merrill Lynch are collapsing, no doubt smaller companies are feeling the brunt. Especially at the top levels, people are unwilling to change their jobs because of the risks currently involved in joining any new organisation, which may prove to be unstable.
One of the main methods of attracting qualified talent at top levels was offering them extremely large compensations along with unlimited perks. In these times of credit crunch, it has become impossible for most companies to spend that kind of money on their employees, even at the top levels. By taking away a major attraction in enticing people to take up a new position, the credit crunch has made it very difficult to recruit people at the top position.