85% of U.S. Business Owners Plan to Implement a Hiring Freeze During Economic Downturn, According to New Data from Fiverr Business
August 18 2022 - 8:00AM
Business Wire
A majority (78%) say they are more likely to
engage with freelance talent to fill in gaps in their workforce
during times of economic uncertainty
Fiverr International Ltd., (NYSE: FVRR), the company that is
revolutionizing how the world works together, has revealed new data
showing how the current economic crisis is affecting U.S.
businesses, as well the steps they plan to take in the event of
further economic downturn. Fiverr Business, Fiverr’s catalog of
verified and vetted talent for medium to large businesses,
conducted a nationwide survey of over 1,000 owners of businesses of
varying sizes and revenue. The results show how these businesses
are coping with rising costs, inflation, and a potential and/or
impending economic downturn.
This press release features multimedia. View
the full release here:
https://www.businesswire.com/news/home/20220818005156/en/
Effects of inflation and rising costs are
impacting U.S. businesses of all sizes. (Graphic: Business
Wire)
“Businesses have proven their resilience over the past few
years, but the economic downturn - including the cost of living
crisis, inflation, and the volatile stock market - has delivered
yet another obstacle to add to the list,” said Shany Malbin, Fiverr
Business General Manager. “Changes to headcount and working
arrangements are unfortunately necessary during cost-cutting
periods, and yet businesses need to ensure staff still feel
supported and morale remains intact. It’s encouraging to see that
savvy business leaders are turning to freelancers in order to fill
any talent gaps in their workforce to avoid things such as burnout
and reduced productivity.”
Several key themes that emerged from the data include:
Effects of inflation and rising costs are impacting U.S.
businesses of all sizes.
- 41% of business owners reported lowered productivity among
their workforce despite 36% having reported an increase in working
hours.
- 31% have had more salary and benefits requests from staff.
- 87% of businesses reported having to re-examine their fixed
costs (lease, insurance, etc.) vs. variable costs (staffing,
benefits, etc.)
A large majority (85%) of U.S. businesses plan to implement
hiring freezes during the current economic downturn.
- Remote-only companies are less likely to implement a hiring
freeze (78%) compared to companies operating fully in-person
(87%).
- Hybrid-working companies are most likely to implement a hiring
freeze (88%).
Most U.S. businesses (78%) plan to lay off employees during
the current economic downturn.
- Remote-only companies are less likely to lay off staff (74%)
compared to companies operating fully in-person (80%).
- Hybrid working companies are also more likely to lay off staff
(80%).
Inflation and the rising cost of living has heavily impacted
businesses and their employees.
- 45% of businesses with 500+ employees say they are experiencing
reduced productivity.
- 30% of all business owners surveyed said staff is more likely
to ask for salary raises or benefits.
- 23% of business owners say they’re seeing reduced morale.
Given the possible recession, business owners surveyed said
they will hire freelancers to fill talent gaps in their
workforce.
- 43% of business owners surveyed plan to hire freelancers.
- 8 in 10 said independent flexible talent can help companies
during times of economic downturn.
Freelancers have already proven to be an essential resource
for businesses.
- 81% of respondents said they are already using freelance talent
to support their full time staff and fill skills gaps.
- 40% say independent talent provides a larger talent pool for
recruitment.
- 38% believe freelancers are more efficient.
This survey was conducted in partnership with Censuswide.
About Fiverr
Fiverr’s mission is to revolutionize how the world works
together. We exist to democratize access to talent and to provide
talent with access to opportunities so anyone can grow their
business, brand, or dreams. From small businesses to Fortune 500,
over 4 million customers worldwide worked with freelance talent on
Fiverr in the past year, ensuring their workforces remain flexible,
adaptive, and agile. With Fiverr’s Talent Cloud, companies can
easily scale their teams from a talent pool of skilled
professionals from over 160 countries across more than 550
categories, ranging from programming to 3D design, digital
marketing to content creation, from video animation to
architecture.
Don’t get left behind - come be a part of the future of work by
visiting fiverr.com, read our blog, and follow us on Twitter,
Instagram, and Facebook.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20220818005156/en/
Abby Forman Laura Podesta press@fiverr.com
Fiverr (NYSE:FVRR)
Historical Stock Chart
From Jun 2024 to Jul 2024
Fiverr (NYSE:FVRR)
Historical Stock Chart
From Jul 2023 to Jul 2024