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Problem #3 (Uncertainty)—The U.S. economy isn’t in the greatest shape right now. Depending on what industry and niche you work, there might not be that many direct-hire job orders at the moment. That’s more than enough to make a recruiter jittery. Will your clients institute a hiring freeze? If they do, should you tough it out or try another niche? How do you prepare for the worst-case scenario, should it transpire? And just what the heck would the worst-case scenario entail? The questions just never seem to end.

Contracting Solution—During a down economy, companies are more likely to hire contractors to finish projects and meet deadlines. And they can do it even if a hiring freeze has been imposed. So while some recruiters are shut out of companies, those who place contractors will still be making money. Hardly seems fair… to those who aren’t making the contract placements, that is. And let’s not forget the “money coming in every month” factor. That’s big when you’re talking about a recession.

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