How prepared are you for the recession?
We are currently entering the initial stages of a global recession that is eerily closer to the ‘Great Depression’. Investment bank, Morgan Stanley expects a deep depression in 2020 due to the global economic slowdown, worldwide pandemic lockdowns and low oil prices.
A deep recession means that it takes longer for economies to bounce back. As the economic impact trickles down to the masses, it becomes harder for people to meet their expenses.
While some may find the recession grim, others look at it as an opportunity to reset and seek avenues of growth.
I remember the 2009 recession quite clearly where a bulk of jobs that were lost in retail, automobile, travel and printing. My friends often had to look for jobs that were out of their level of expertise such as education, utilities, financial services and even in law enforcement.
Out of all these sectors, education seemed to be stable in any economic conditions. A lot of traditional jobs are being replaced due to digitization in the workplace. So, there is always demand to upskill in these changing markets.
Some employees have already begun recession proofing their careers by constantly learning. There are a lot of methods to upskill or learn new technologies whether by joining an online class, or using on-demand education services like upGrad, Udemy or task based platforms like Helpee.
Finding optimism during hard times
For a lot of optimistic individuals, recession presents itself as an immense opportunity to find their place in the marketplace. A factor to consider is the ‘Gig Economy’ that rose sharply during the last recession has empowered many to take up full or part time self-employment.
The Gig Economy has become the favoured mode for many due to the massive layoffs experienced in the 2009 recession. There has always been a pattern in the rise of gig work during times of economic slowdown. People began to supplement their work or at times even replace their full time employment to freelancing.
According to Edison Research, the top gig employment includes -
- Driving for cab services like Uber and Ola.
- Content writers, web designers and musicians.
- Working for task based apps such as Helpee or UrbanClap.
- Renting out spaces for co-work or Airbnb.
- Tutors.
Industry experts have pointed out people who are multi-talented and adaptable to change are least affected during an economic crisis.
The gig economy is fulfilling a need in the marketplace and the wider society with changes in consumer behaviour, evolving market and also the pursuit of working independently.
Businesses born out of economic downturn
Some of the world’s largest companies were born out of the recession. Companies such as FedEx, Microsoft, Salesforce, Disney, IBM etc. were all conceived during or right after various recessions throughout the years.
Savvy entrepreneurs often disrupt industries to find new alternative methods for ‘price-sensitive customers’ by providing platforms such as Airbnb and Uber. These unicorn companies were established during the last recession and were possible due to the founders upskilling themselves on the latest technologies.
Almost any entrepreneur or business can survive an economic slowdown. The key is to understand the needs of the market and the customer. The market landscape is quickly changing with increased demand for digital goods and self-employment tools.
So, for people who are planning to start businesses during the recession,
- Find a solution for the current market scenario,
- Look for opportunities where the current market can’t provide,
- Provide alternatives to hard choices that customers deal with,
- Help your customers and communities by providing a platform or cost effective solutions.
Enhancing your skill set
Technology jobs are increasing in India despite the economic slowdown. According to the American Worldwide Employment Search Engine, India had a spike in technology jobs created from 5% to a whopping 31% in just 2019.
It is essential to create an ecosystem for skill development. We at Helpee believe that learning doesn’t have to be a long term commitment with extensive training and lessons. Some skills require 2–3 sessions to get you started on the pathway to self-learning. Let’s look at some of our users and how they have used Helpee to connect with freelance tutors from the community.
Anand (40) who owns a distributorship of a leading brand wanted to learn free-to-use analytics tools. He posted a request on the Helpee app and was instantly connected to a community member who had vast knowledge on the subject. The session was basic level with a combination of a couple of online and in-person classes. At the end of the exercise, Anand was skilled on a valuable asset which he uses everyday for his day to day business reporting.
In another instance, Ajay (28), a back end software developer for a mid size software company requested to teach him the Adobe Photoshop tool to upskill himself towards his goal of becoming a more holistic developer. He has been trying to learn the basics from YouTube videos but had difficulty in some of the steps involved. So, he decided to post a request on the Helpee app to see if there was anyone willing to demonstrate some of the complex steps involved.
The rise in non-tech gig’s
If you are not a techie, there are plenty of other avenues for you. The rising ‘Gig economy’ has created demand for multiple skills such as tutoring, babysitting, elderly-care, repairs, installations, event DJ’s and more. Registering yourself on task based apps such as Helpee and UrbanClap can provide you with a continuous line of gig work throughout the year.
One of the popular requests we get on Helpee are users seeking tutors for their elderly parents on how to use a smartphone, laptops and email. There is a huge demand for elderly education in the country due to the rise of digital-only services.
Why ‘In-person’ tutoring still matters
Skills like learning a musical instrument, elderly education, hardware tools etc. requires in-person demonstration where online education platforms and video sessions fall short on. There are a number of education providers over the internet that can train you but they all lack an essential element — the human connection.
I asked some of the users on why they opted for Helpee rather than video tutorials or sign up for an online course. Most of them replied that the ‘Personal Tutoring’ was one of the main factors for them to choose this method. They found that they were more confident in being able to practice with an in-person tutor than an online demonstration.
When you tutor someone in person, there is a higher chance of them being able to grasp the subject or the tool with confidence. You get a more personalised experience by overcoming learning obstacles.
The lack of face-to-face interaction hinders input from the trainer and also limits the transformational power. People may also face self-discipline issues when it comes to sticking to the online classes.
As the world evolves and becomes ever complex, the ones who are open and adaptable to change survives. You have the opportunity to learn and earn at the same time during this slowdown and get valuable skills that will catapult you once the economy begins to get back on track.
