Is there or isn't there a recession? We know things have slowed up a bit in some areas, but recession is a big word. Is it just a figment of the media's over-active imagination? And can your business afford to take the chance that it is? Here are a number of HR tips to help keep your company recession proof.

Keep recruiting

Most of the time, economic downturns are short-lived so keep the bigger picture of long-term growth in sight. Keep your nerve. It's easier to invest training time for new recruits during slower growth periods. It's also worth remembering that if you dismiss employees during a recession, not only is there a cost, you will have to appoint someone to take their places when times get better - and that can cost a lot more money in the long run.

Don't recruit a problem

In the first instance, it's essential, in tough times, to ensure that you've got the right people working for you. The recruitment process should be conducted with rigorous thoroughness.

There are three key areas to note:

- Legal requirements
- Best practice
- Collect facts

Do make sure that you ask questions that are relevant to the job being recruited for and don't be afraid to build in some testing. Some excellent CVs don't hold up under scrutiny. Once the candidate was tested and evidence collected to see if he/she could deliver the skills claimed, the results were both surprising and disappointing.

Apportion your resources wisely

Limit activities with limited business purposes. Instead, organise a sales or other company meeting with a clearly defined profit purpose. You can make it fun, for example, using a suitable speaker. Create specific individual performance requirements from the meeting.

Reduce expenses that don't add value. Instead include low-cost but high-impact benefits at a time when the rest of the business world is cutting back.

Keep talking

Be honest with employees about difficult times. Let them know how you're doing so that they understand the true financial picture. Often employees are willing to make cuts and changes when they understand the facts. There are no winners if the business goes down. Talking clearly and honestly with your employees also helps to reduce the rumours flying around the workplace.

See the silver lining

Give employees positive feedback whenever you can. Acknowledge when a job is well done, and consider non-cash incentives. It can make a big difference to employee motivation.

Irrespective of the financial climate it's reasonable to ask employees to do their best. If they're not performing to their full potential, a suitable performance appraisal, encouraging input from both parties, can be useful.

Keep up to date with employment law

Just because there's a recession it doesn't mean that employment law stops developing. Look for cost-effective ways of keeping up-to-date - sign up for free newsletters and subscribe to great value products or services which cut your costs, but still keep you up-to-date with practical information and advice, keeping you abreast of the ever changing employment law.

Keep on training your people

All the research shows that the companies who weather the storm best perform better because they keep up their training. It doesn't have to be expensive classroom training. There are so many cost-effective alternatives - buy a book (or series of books), arrange virtual classroom or online training, encourage employees to be seconded on to other projects or work outside their usual sphere of activity.