The Harris Poll: Recession Watch and Workplace Behavior Snapshot

Perhaps due to the efforts many employees are making to ensure their job security, work culture seems to be suffering – and workers are noticing.

In fact, employees are more likely to be worried about worsening company culture (52%) than getting laid off (42%)!

Nearly half (46%) say that their coworkers are more competitive at work now than before the looming recession, and a similar proportion (44%) say they are worried about working longer hours due to the current economic climate. Additionally, nearly half (48%) say they are worried about a reduction in offered benefits or perks at their company – which signals that the culture issues may extend beyond just the competition among employees.

And, workers at larger companies are more likely to sense certain negative culture shifts in their work environment than employees at smaller companies. Workers at larger companies (100+ employees) are more likely than those at smaller companies (<100 employees) to be worried about worsening company culture (54% vs. 46%), Reduction in offered benefits/perks (51% vs. 43%), and are more likely to agree that their coworkers are more competitive at work now than before the looming recession (49% larger companies vs. 41% smaller companies).

Most employees worry that they will not get raises this year due to the looming recession and have therefore taken other actions to bolster their financial security.

With a looming recession, financial security is a topic that is top of mind for U.S. employees. Over half (56%) worry that they will not be getting a raise, while many (46%) even worry that they may see a reduction in their salary due to the looming recession. In fact, 9% say they have already taken a salary reduction due to the current economic environment.

Many sense a power shift between themselves and their employers, with over half saying they have less leverage to ask for a raise now than before this current economic cycle (55%), and also that they have less leverage in negotiating a salary at a new job now than before the downturn (55%).

Therefore, it’s no surprise that some U.S. employees are taking steps to better advocate for themselves, such as researching competitive salary ranges (20%) or comparing their salary with coworkers’ (16%).

Perhaps because of this income uncertainty, many have taken action with their own finances by reducing their spending (50%) and putting money into savings (38%).

In addition to adjusting their saving and spending habits, many have sought sources of supplementary income, with just over a quarter (27%) saying they have started a side gig or side hustle. This spark of entrepreneurship is most common among working women (32% vs. 23% of men). This trend shows that the next wave of exciting business formation may be on the horizon.

However, not all reported behavioral changes are positive – nearly one in three (31%) say they have had to take money out of savings due to the current economic environment.

While both male and female workers are equally worried about various aspects of the looming recession, female workers are more likely than their male counterparts to be taking certain active steps in response to the current economic environment such as reducing spending (57% vs. 44%), taking money out of savings (37% vs. 25%), updating their resume (31% vs. 24%), starting a side gig/hustle (32% vs. 23%).