It seems the Coronavirus has taken this country by storm over the past couple of weeks. In fact, many experts say its greatest impacts will unfold over the next three to four months. Already, the fallout from the epidemic is reaching into all corners of society, especially employment.
Meanwhile, experts are still scrambling to predict what will happen to the workforce and economy. However, the many special circumstances implemented to stanch the spread of the contagious virus make forecasting difficult.
For example, in states like California, events with 250 or more attendees have been suspended. Furthermore, many other states are expected to follow. At the same time, employees are being asked to work from home. As a result, tourism and restaurants are taking a major hit. Additionally, healthcare employees feel the strain of school closures and other challenges that hinder their essential work.
With this in mind, below we discuss three broad ways the Coronavirus will impact hiring over the next few months.
1. Hiring Will Be Reduced Across Industries
The one thing everyone can agree on during this outbreak is uncertainty. All over the world, countries are virtually shutting down. The impact trickles down to all aspects of life.
We are not at that point yet in the United States. However, caution is clearly the best practice during these unusual times.
Because of this sentiment, businesses across all industries will greatly reduce or halt hiring over the next few weeks. They will wait until it becomes clear what measures are needed to keep both employees and customers safe.
2. Layoffs Will Be Called Into Action
While this may not be true in all industries, layoffs will occur in businesses that the virus has economically impacted. Already, we are seeing substantial layoffs in tourism and special events.
Economists fear even more layoffs in the coming weeks as supply chains halt and people stay home and spend less.
“We will definitely see an effect on jobs from the coronavirus, and it could be pretty large in leisure and hospitality,” said Julia Pollak, labor economist at ZipRecruiter. “The first thing we’ll see is a reduction in hours. We hear many reports of employers canceling staff everywhere except in health care.”
3. More Employees Will Be Asked to Work from Home
A silver lining for many employees will be the opportunity to work from home. The Centers for Disease Control and Prevention has recommended that employers establish “non-punitive” policies. These policies encourage employees who are sick or showing symptoms to stay home.
The internet and cloud-based services now play a key role in keeping the workforce productive from home computers and telephones.
In the midst of this global pandemic, it can be difficult to stay positive. However, many health experts predict that the virus will run its course. They expect most industries to return to normal around July or August of this year. Tourism and hospitality will likely be the exceptions, continuing to suffer even as the world begins to trust that the threat has passed.
We can expect an influx of workers into the hiring pool over the next few months. This increase will give companies the opportunity to expand their workforce when they feel it is safe to return to business as usual.
In the meantime, it is important to heed precautions and hunker down while this global event plays itself out.