📛Unemployment just hit a four-year high
So much for the "soft landing" fantasy that J Powell kept whispering (honestly, I almost feel bad for him... almost).
To be fair, I can't say I'm shocked. J Powell has been moonlighting as a magician channeling his inner "David Copperfield': sleight of hand over here, missing jobs report over there.
Here's what happened in plain English: the BOL (Bureau of Labor Statistics) says that unemployment is 4.4%.
Sounds mild, until you realized that this is the worst it's been in years (and remember, their unemployment math is based on formulas last updated when Blockbuster was still a growth stock.)
Now normally, we would look at the monthly CPI and Jobs Reports for clues, but....
👀CPI? Jobs Reports? Anyone? Bueller?
Yeah, they’re not being released.
Official excuse: “Federal shutdown delayed them.”
Translation: “The data’s ugly and we’d rather you not see it right now.”
🧠 Romeo, what's the plan?
Here are some of the things I've seen clients do in the past during times of recession and uncertainty:
💸 Hiring? Slow it down.
↳ Focus on flexibility. Part-time contractors > full-time employees.
📉 Revenue softness? Start trimming early.
↳ Don’t wait until you’re bleeding cash to cut back.
🧾 Review your financials like a hawk.
↳ Scrutinize every line. Missing details now, become expensive regrets later.
🔍 Run your KPIs and ratios.
↳ Watch churn, receivables, and client payments like a hawk.
Don’t panic. Just prep.
Because if the lights go out, the smart ones have a flashlight, with backup batteries ready.