Navigating the Job Market in Challenging Times

By LUCIA MABASA

Economic conditions are tough, and organizations are striving to meet targets and balance budgets, often leading to necessary cost-cutting measures. While this reality is evident, many remain in denial—particularly those navigating the job market.

As high achievers, we often believe we are exceptional, possessing the qualities that can drive meaningful change within a company. In many cases, this belief is justified. However, in today’s climate, confidence alone is not enough; others must recognize our value as well. When competing for a new role, particularly one that aligns with our aspirations, it is essential to demonstrate our worth during the interview process—especially if we seek a competitive remuneration package.

Previously, candidates in C-suite or scarce-skills roles could expect salary increases of 20% or more when transitioning to a new position, sometimes even receiving sign-on bonuses. However, those days are behind us. Given current economic constraints, companies are less likely to extend such generous offers. As a prospective candidate, it is crucial to recalibrate expectations, aiming for a more realistic 10–15% increase. Additionally, organizations will expect immediate results from new hires, making it imperative to be prepared for high performance from day one. As former U.S. President Bill Clinton famously said, “It’s the economy, stupid.”

To negotiate effectively, you must understand your market value and be able to articulate it persuasively. This requires an awareness of where you currently stand and a vision of where you could be in the next five to ten years. In some instances, accepting a role with a lower package—or even one with no immediate financial gain—can be a strategic move. The experience gained at a higher level within a key sector can prove invaluable, positioning you for greater opportunities in the future.

Just as continuous learning is irreplaceable, experience is a priceless asset—especially when it is unique and measurable in terms of tangible results. While financial negotiations may be more constrained than in previous years, there is still room for discussion. Employers may be open to alternative benefits such as remote work arrangements, additional leave, or performance-based deferred bonuses. These incentives allow businesses to manage immediate financial pressures while ensuring compensation is tied to proven results. When you deliver, your contributions justify the reward, making it a self-sustaining investment for the company.

Before stepping into the job market, take the time to reflect and ask yourself the critical questions before the interview panel does. Why are you seeking this opportunity? What do you aim to achieve? What differentiates you? What measurable value can you bring to the organization? How do you quantify your worth? If you cannot confidently answer these questions for yourself, convincing a panel—potentially a skeptical one—will be even more challenging.

Understanding yourself, the market, and your place within it is essential. Be prepared for setbacks, but most importantly, be ready to demonstrate your value from the start if you secure the position. And remember—if this opportunity does not materialize, there is a reason. Identify it, address it, and refine your approach for the next one.

These challenging times will not last forever. Economic conditions will improve, and businesses will begin to thrive again in 2025, bringing new opportunities and rewards. However, success requires readiness and perseverance. Stay engaged, remain proactive, and ensure you are prepared to seize the opportunities ahead.

*Lucia Mabasa is Chief Executive Officer of pinpoint one human resources, a proudly South African black women owned executive search firm. pinpoint one human resources provides executive search solutions in the demand for C suite, specialist and critical skills across industries and functional disciplines, in South Africa and across Africa. Visit www.pinpointone.co.za to find out more or read her previous columns on leadership; avoiding the pitfalls of the boardroom and becoming the best C-suite executive you can be.

** The views expressed do not necessarily reflect the views of IOL or Independent Media.