Young people can thrive during a recession. Here’s how
Grit. Resilience. Patience. Attention to detail. Smart skills. These are core ingredients young people need to come out the other side of this recession thriving financially, emotionally and professionally; not just surviving. These are the areas to focus on.
Recognizing good industry opportunities and steering clear of bad ones
Some industries are projected to grow despite a down economy, and those are the ones young people will want to focus on when planning their career. Education, health care, IT, government and certain portions of the finance sector are all areas worth exploring, according to economists. Knowing this might even influence the courses and programs new graduates register for — and skipping post-secondary education is basically not an option anymore if you want a quality career. Some industries that suffer most during recessions are retail, restaurants, hospitality, travel, real estate and manufacturing; so it might make sense to steer clear of these.
Make your work noteworthy
The goal is to be employed (or have revenues if you’re self-employed) for the full duration of the recession. Once we are through the thick of it, more quality opportunities will arise in the workforce. Recessions bring about layoffs but the more essential a worker is to their department, their boss, their company, the lower the chances of losing their job. So do the best work you can possibly do.
Elevate your accomplishments within the workplace, on your resumé and on LinkedIn. Network like never before, so that if new and better opportunities do come up, you’re the first person to be considered. If there is a mentor who’s willing to take you on and coach you on your work, ask for their support. And learn how to use the power of your team to improve the quality of your work.
Almost any experience will be better than nothing
Most successful people will tell you that they didn’t immediately have their dream job. Prior to “making it” they worked at something they didn’t want to be doing. But they gained experience, made money and learned about themselves in the process.
Professional experience is equally important as education nowadays, which is why opportunities for internships, co-op placements, summer jobs, volunteer work, contract positions, positions that aren’t exactly your dream job but will do, are all important. These opportunities are another way to get your foot in the door with employers and add to your CV. I worked at a few jobs I absolutely hated throughout 2007-2009 (I was a millennial worker during the financial crises). Yet I choose to find the silver lining in every week; I was gaining experience, I was learning A LOT about horrible bosses and what I never wanted to become, I focused on completing my securities courses during my evenings (a welcomed distraction), I volunteered on a board, and I spent my free time doing things I loved like running and travelling on a shoestring budget.
I’d be lying to you if I said that period in my career was a happy time. It wasn’t. But I made the most of it, stayed employed while so many of my friends were out of work, and supercharged my savings at every opportunity. By the back end of the recession I was stronger, and you can be too.
Become financially literate as quickly as possible
It’s extra risky to make poor financial decisions during a recession. Having strong core budgeting, saving and investing skills help you thrive during and after a recession. Mindful spending habits should help to avoid unnecessary debt and create the opportunity to save for a rainy day and possibly start investing for the future.
In the long term, financially empowered young people earn more throughout their careers, are happier in their work, enjoy a better quality of life because they have savings, and their intimate relationships are more likely to stand the test of time. If you don’t know where to start, make learning about money matters a weekly ritual; read personal finance books and blogs, listen to trending money podcasts, create and stick to a budget, leverage the power of banking technology to track your spending, get financial advice from qualified sources and find a community of other young people who are learning about money management.
This moment will pass. The recession will end. You will have better career and financial opportunities in the future. But for now, do what you can to strengthen your career and protect your hard earned money.
This article was originally published in The Star. Lesley-Anne Scorgie is a Toronto-based personal finance columnist and a freelance contributing columnist for the Star.
