Tackle 2026 with rigour and determination as the uncertainty continues

2025 was a year that tested many business owners and leaders in the staffing and recruitment industry. And 2026 is also shaping up to be a year of uncertainty.

If we wind back 12-18 months, I had conversations with business owners that, on reflection, were a bit harsh. Many businesses at the end of 2024 and leading into 2025 were experiencing a reduction in productivity and performance while costs were rising. It was a serious hangover after the Covid period boom. 

My proposition at the time was that all the indicators were positive if comparing 2024 data to pre-Covid data, so just go and do the hard things (like business development) and get the rewards.

As the year progressed, I stepped back from that. We are in a period of immense change and uncertainty and that is impacting the way in which strategic and tactical decisions are made and implemented.  

I have remarked that we haven’t seen this level of change in Australia for decades. We have had short recessionary periods, and Covid tested every business owner and leader, but this is different. The VUCA term has been around for a while but for us in Australia most have not had to deal with this level of Volatility, Uncertainty, Complexity, and Ambiguity.

When we start to categorise the current changes, it is a long list:

• Rising costs everywhere (cost of living, wages, insurance, funding etc)

• Rapidly changing client circumstances (procurement-oriented panels changing or drying up; general client indecision)

• Complex candidate relationships (partly generational, but also candidates uncertain of change)

• Complex staff and workplace arrangements and the use of offshore resources

• Legislative impact

• Uncertain global events

• The great wave of technology including automation and AI

• Change fatigue

So, what have recruitment agency owners and leaders got in front of them? It is hard to see a short-term period that will have less change. Or less uncertainty. 

The role of a leader in these times has changed. Accepting more responsibility, dealing with greater ambiguity, and making decisions that have deeper and wider impact. 

Success is unlikely to come from ignoring major trends such as technology and offshoring, approaching clients and panel contracts in the same manner, using the same process with candidates, or leading staff “the way we have always done it around here”. 

Successful leaders are likely to consult widely, adapt deliberately rather than react instinctively, tolerate the discomfort of imperfect decisions, and most of all provide a clear sense of direction that gives stakeholders confidence to act in uncertain conditions.

Fortunately, the staffing industry has all the resources, networks, support and enthusiasm to assist in these times. No leader needs to be alone or feel they need to make decisions in isolation.

However, it is more important than ever for leaders to have a great understanding of themselves. Founders, especially, need to dig deeper and understand their personal characteristics to be the most effective version of themselves. 

Understanding identity and personal strategy, personality and strengths, and behaviour under uncertainty builds the confidence to slow decision-making and make more robust choices. This is a genuine topic for further discussion.

HHMC Global operates within the staffing and recruitment industry on equity transactions, market valuations and business growth advisory. Contact us to discuss further.