When economic times are uncertain, you can always lean on a solid people strategy.

“When everything seems to be going against you, remember that the airplane takes off against the wind, not with it.” – Henry Ford

Incidentally, Henry Ford was one of the leading industrialists against tariffs in 1920s America. He believed that tariffs on imported goods, especially raw materials like rubber and metals, would increase manufacturing costs and harm American industry. His prediction turned out to be true and contributed to the economic downturn that led to the Great Depression. With great uncertainty showing up again, the good news is that we can reflect on our people strategies and strengthen our businesses in the meantime.

Every company leader who has been in the position of hiring, evaluating, and firing people has felt the heavy strain of responsibility. It requires the kind of mental fortitude summed up in a quote attributed to Winston Churchill:

“Never, never, never give up.”

In these tariffic times, it’s important to remain buoyant and flexible—and to keep walking.

Few environments are tougher than business, and few roles are more challenging than finding, onboarding, keeping, and, when necessary, letting go of underperforming employees.

Businesses often feel pressure to take rapid and sometimes drastic staffing measures during economic uncertainty. More often than not, this is an anxious, knee-jerk reaction to short-term cost-saving fears. However, such a response may come at the expense of long-term competitiveness and profitability—especially when it comes to hiring and retaining executive and professional talent.

Finding great people isn’t easy. Companies tell us all the time how hard it is to find the right fit for a role—nevermind identifying true superstars. (It’s one of the key reasons they come to us after struggling to fill roles themselves.) Finding, acquiring, and retaining the best people is not a task best left to DIY. Professional recruiting is a critical part of a solid people strategy—one that keeps your organization competitive and strong through market fluctuations. You might expect an executive recruiter to say this, but it’s true, nonetheless.

Here are some key considerations for your people strategy in strained and anxious times:

1. Resist Panic-Based Decisions

Layoffs or sweeping hiring freezes may seem like quick fixes, but they can cause long-term damage. You risk losing institutional knowledge and dismantling leadership structures you’ll need once the market recovers. Before making cuts or halting recruitment altogether, take the time to evaluate how each role contributes to your strategic objectives.

2. Identify Critical Roles and Gaps

Uncertain times often reveal the difference between “nice-to-have” functions and essential roles that keep your company competitive. Conduct a thorough review of your executive and professional positions:

• Pinpoint mission-critical functions. These are roles you can’t afford to lose—experts, senior leaders, or specialized professionals crucial to innovation and revenue.
• Identify gaps. Look for areas where you lack expertise that could help your company pivot, grow, or stabilize during market disruptions.

3. Upgrade to Top Talent

Once you know which roles drive long-term success, consider selectively adding new hires who can elevate your team. Rather than focusing on volume, prioritize quality:

• Strategic permanent hires. Bring in highly skilled executives or professionals who can solve specific organizational challenges and unlock new market opportunities.
• Fractional hires. This allows you to bring in top talent either on a trial basis before committing to a full-time engagement or capitalizing on their experience at a fraction of the cost.
• Thoughtful transitions. If a position is no longer a fit or underperformance persists, a careful transition—coupled with a new, high-caliber hire—can strengthen your leadership bench without destabilizing team morale.

4. Nurture Your Existing High Performers

Competitive advantage isn’t just about hiring; it’s also about investing in the talent you already have:

• Professional development. Offer targeted training and leadership coaching to help your rising stars grow with the company.
• Mentorship and knowledge sharing. Encourage leaders to pass on skills and insights, fostering an environment of ongoing learning and collaboration.
• Performance-based incentives. Bonuses, commissions, profit sharing, and cyclical raises matter. It’s all well and good to encourage performance and knowledge sharing, but the bottom line is that high performers thrive when incentivized. Make sure rewards are clear and contractual to prevent misunderstandings later.

5. Build a Resilient Culture

A solid people strategy goes hand in hand with a strong company culture:

• Communicate openly about business challenges and the reasoning behind staffing decisions.
• Acknowledge the efforts of those who adapt quickly to new roles or take on additional responsibilities.
• Shared purpose. In uncertain times, employees need to know their work is meaningful. Clearly connect individual responsibilities to broader organizational goals.

6. Leverage Expert Guidance

This is where we become an invaluable partner. Our business is all about finding, placing, and developing top talent and high-caliber leaders. Outside human resource strategic expertise—such as ProFound Talent—offers a high return on investment. A capable executive recruiter can help you Identify skill gaps in your organization; strategize around critical hires or restructuring; and strengthen your approach to onboarding and retention.

Evaluating your people strategy now can save your organization from costly missteps. If you don’t have a clear and deliberate people strategy, it’s time to get one. If you do, now is the time to ensure it’s optimized for competitiveness: properly lean without compromising effectiveness or quality.

Without the right people in place, even the greatest vision and market strategy amount to nothing. No matter what, even with automation coming on strong, people are at the heart of every business, and we must care for and nurture our greatest assets to succeed.