More than 86 percent of global CEOs anticipate a recession to hit over the next 12 months with 58 percent expecting it to be mild and short, according to KPMG’s recent CEO Outlook report. The flagship report, which is in its eighth staging, asked more than 1,300 CEOs at some of the world’s largest businesses about their strategies and outlook. Of the 86 percent of global CEOs expecting a recession to hit, 71 percent predict that it will impact company earnings by up to 10 percent.
The report also revealed that while a strong majority of senior executives believe that a recession will disrupt anticipated growth (73 percent), only three-quarters (76 percent) have already taken precautionary steps ahead of a looming recession.
“Companies in the Caribbean are not immune to the issues that face the rest of the world and the report findings run parallel with the realities of many CEOs in the Caribbean.
With continued economic turmoil, there are signs the Great Resignation could be cooling down, with 39 percent of CEOs having already implemented a hiring freeze, and 46 percent considering downsizing their workforce over the next six months.
However, the three-year view is more optimistic with only nine percent expecting a further reduced headcount.