One CEO's recession outlook: "The risk of layoffs will grow and the number of layoffs will grow."

[Amerigo Vespucci]

Recession Watch: Is Your Job Safe?
As the Economy Falters, Learn What You Can Do to Keep Your Job

http://abcnews.go.com/Business/CareerManagement/Story?id=4172745&page=1

"No question that if the economy goes into recession, or is already in it, unemployment and job security are going to get worse," said John Challenger, CEO of Challenger, Gray & Christmas, a consulting firm that provides outplacement services for executives and middle mangers. "The risk of layoffs will grow and the number of layoffs will grow. That means often you can get caught without a job through no fault of your own," Challenger said.

He said companies are very quick to cut jobs today. They used to hold on to employees, hoping to ride out the bad times, but not anymore. "They need to stay maximally profitable to keep Wall Street happy," Challenger said. "They're quicker to push people out when times are tough," he said. "They know they dip back into the market and hire people when they need them again."

Challenger said that the job market typically lags up to six months behind the economy. It takes companies some time to lay off workers and there is also a delay in rehiring.

"So far, the labor market has been relatively immune from the effects of this housing-led and credit-led turmoil," he said. "But there's also risk moving forward that if the consumer does start to slow down, many businesses will be affected from retailers to all sorts of things, including hotels and restaurants."