Cybersecurity Management in a Recession (2023)

FAQs

Will cybersecurity be affected by recession? ›

It looks unlikely that the cybersecurity sector will escape entirely the ravages of the recession. Demand for skilled professionals will remain high, but with cyber budgets being eaten away, there will be less cash to go round, forcing businesses to prioritize.

Even in a down market, a company can no more reasonably stop using cybersecurity technology than they can cut off their internet or electricity. Hackers and criminals do not care if businesses are tightening their belts ahead of a recession.

What has become clearer and clearer, however, is that one area which is more resistant to recessions is tech/information technology. According to the Bureau of Labor Statistics, tech-related jobs are projected to continue growing during the next decade.

That said, if you have cash to invest, you may want to consider buying recession-friendly sectors such as consumer staples, utilities and healthcare. Stocks that have been paying a dividend for many years are also a good choice. These tend to be long-established companies that can withstand a downturn.

Cyber Security Job Outlook for the Next 10 Years

According to the Bureau of Labor Statistics, the information security analyst career is expected to grow by a whopping 31% between now and 2029. This is much faster than the average of all other careers. Technology will always be a requirement from now on.

The Human Factor

So, it is common for employees to increase their digital footprint without being aware of the risks involved. We hear this repeatedly: “Humans are the weakest link in cybersecurity.” This negative characterization of human nature is deeply ingrained in the cybersecurity industry.

The global cyber security market size is projected to reach USD 500.70 billion by 2030, registering a CAGR of 12.0% from 2022 to 2030, according to a new study by Grand View Research.

The jobs that are the “first to go” when a recession hits are the ones that depend on consumer spending and people having copious disposable income, says Kory Kantenga, a senior economist at LinkedIn. Retail, restaurants, hotels and real estate are some of the businesses often hurt during a recession.

Will tech jobs survive the recession? ›

Are Tech Jobs Recession-Proof? The short answer is no; you won't find a tech job that's completely safe from recessions. But certain tech jobs are known to survive recessions relatively well since they are responsible for the infrastructure that protects other industries from economic turmoil.

Hence any recession or slowdown in the US can have a cascading effect on Indian IT growth. As these US companies scale down their budgets in light of the recession there, there will be a direct decline in contracts with Indian IT companies.

During a recession, you have the chance to buy a business that is in loss or not in a good state. Thus buying a new business and investing cash in it can be the best way to keep the business and former owners float. In this way, you save good businesses and make money.

Gartner, Inc. predicts that by 2023, "65% of the world's population will have personal data covered under modern privacy regulations, up from 10% in 2020." In the U.S. alone, five major states will have new comprehensive data privacy laws rolling out in 2023.

The answer is yes and no. While cybersecurity automation is necessary in today's vast threat landscape, its current functionality will not replace the role of cybersecurity professionals. The use of cybersecurity automation is undoubtedly on the rise.

It is never too late to start a career in cybersecurity — this may sound cliché, but it holds a lot of truth. If you are passionate about the topic and are ready to put in the work to acquire the skills and knowledge needed, anyone, regardless of educational background, can break into cybersecurity.

For example, you'll want to avoid becoming a co-signer on a loan, taking out an adjustable-rate mortgage (ARM), or taking on new debt. Workers considering quitting their jobs should prepare for a longer search if they decide to find a new one later.

What businesses do well in a recession? Due to elasticity of demand, industries not impacted by recession are usually in essential services, like health care, senior services, grocery stores and maintenance such as plumbing and electrical.

How long do recessions last? ›

Recessions can last from a few weeks to several years, depending on the cause and government response. Data from the National Bureau of Economic Research shows that between 1854 and 2022, the average recession lasted 17 months.

Businesses in the home improvement contracting, auto repair, childcare and accounting industries do well in a recession. Suffice to say, most consumers deem these services as essential and will keep spending their money on them, rather than wait for better economic conditions.

Phishing is a type of social engineering attack that has become one of today's most common and malevolent cybersecurity attacks. Phishing occurs when a hacker uses a false identity to trick someone into providing sensitive information, downloading malware, or visiting a site containing malware.

1) Phishing Attacks

The biggest, most damaging and most widespread threat facing small businesses is phishing attacks. Phishing accounts for 90% of all breaches that organizations face, they've grown 65% over the last year, and they account for over $12 billion in business losses.

Cybersecurity Ventures predicts the cyberinsurance market will grow from approximately $8.5 billion in 2021 to $14.8 billion in 2025, and exceed $34 billion by 2031, based on a CAGR (compound annual growth rate) of 15 percent over an 11-year period (2020 to 2031) calculated.

It is common for cybersecurity roles to pay more than six figures to people with some quality IT certifications and just a couple of years of experience. Maybe you're in your 30s, 40s, or even 50s, and you think you're too old to make a big career change. We're saying – no, you're not!

Machine learning has the potential to help organizations not only detect threats but also mitigate them before they have a chance to impact their operations. It is clear that artificial intelligence or machine learning is the future of cybersecurity.

Some recession-proof industries include healthcare, food manufacturing and supply, infant care and education, repair services, financial services, legal services and others.

What industries are recession-proof 2022? ›

Healthcare, IT (freelancers and software development companies), and the education sector are among the most recession-proof industries out there.

Available jobs in the industry grew by 207,000 in 2022 and have increased every month for the past two years. In light of these trends, you can't safely say the job market is saturated, at least on an overall scale.

FMCG industry

FMCG products are sold quickly as the demand is non-elastic. Regular daily items like detergent, toothpaste, skin care products etc., are such basic necessities that can't be avoided. This sector deals with necessity products.

That's the prediction of The Conference Board. But some economists project the U.S. will avoid a contraction in GDP altogether.

Is it possible that a recession will hit in 2023? Absolutely. But the likelihood of a first quarter recession is pretty low. Right now, unemployment levels are almost the lowest they've been in 20 years, and consumer spending has yet to decline in a meaningful way.

You'll need to be willing to shift your mindset from surviving to thriving and rethink a few of your business strategies, but the results don't lie. More millionaires are made in recessions. The question is: Are you brave enough? Every business has room for improvement behind the scenes.

Gold and silver. Gold is often used as a hedge against inflation since its value tends to increase even as the value of other currencies drop. While investments in gold and other precious metals may not generate income, they can help to offset stock market risk during stagflation periods. Commodities.

Having more saved beyond the three to six months' worth of living expenses is also a good idea, especially during recessions. It can provide an additional cushion during this time. Try aiming for between nine and 12 months of living expenses, if possible.

Who got rich during the Great Depression? ›

Not everyone, however, lost money during the worst economic downturn in American history. Business titans such as William Boeing and Walter Chrysler actually grew their fortunes during the Great Depression.

In addition, during recessions, people with access to cash are in a better position to take advantage of investment opportunities that can significantly improve their finances long-term.

For investors, “cash is king during a recession” sums up the advantages of keeping liquid assets on hand when the economy turns south. From weathering rough markets to going all-in on discounted investments, investors can leverage cash to improve their financial positions.

A stock fund, either an ETF or a mutual fund, is a great way to invest during a recession. A fund tends to be less volatile than a portfolio of a few stocks, and investors are wagering less on any single stock than they are on the economy's return and a rise in market sentiment.

Precious metals, like gold or silver, tend to perform well during market slowdowns. But since the demand for these kinds of commodities often increases during recessions, their prices usually go up too.

Machine learning has the potential to help organizations not only detect threats but also mitigate them before they have a chance to impact their operations. It is clear that artificial intelligence or machine learning is the future of cybersecurity.

In the future, cybersecurity will be a top priority for every company, and the cybersecurity industry is expected to grow by 44% in the next five years. As the industry grows, it will require more professionals and companies to hire cybersecurity professionals.

It is one of the fastest-growing professional fields. Currently, the demand for cybersecurity professionals is at a high level.

What are the cybersecurity technology trends for 2023? ›

Threat detection and response tools like endpoint detection and response (EDR), extended detection and response (XDR) and managed detection and response (MDR) can analyze historical data using artificial intelligence and machine learning algorithms to spot unusual patterns as well as leverage threat intelligence and ...

Cyber security is an ever-growing industry. It is projected to grow by 11% in 2023 and by 20% in 2025. This is a fast-paced career with a median salary of $81,000.

In fact, cybersecurity is a strong career choice to explore right now because the U.S. Bureau of Labor Statistics predicts that employment of information security analysts will grow 31 percent from 2019 to 2029 – while the average growth rate for all other jobs is only 4 percent.

Average annual salary for cybersecurity roles increased 5.29% from $107,580 (2020) to $113,270 (2021). # of people in cybersecurity roles increased 13.93% from 138,000 (2020) to 157,220 (2021).

There are very few people with extensive backgrounds in cybersecurity, and with the confirmed skills shortage in the U.S., the field is far from oversaturated. Many people in the field transition from other areas of IT or computer science.

There are many benefits to having a career in cybersecurity. The most important benefit is that you are going to have a job for life. There is a high demand for cybersecurity professionals and the demand will only continue to grow. Another benefit is that you can find a career in cybersecurity anywhere in the world.