Big companies are starting to get nervous about the job market

“I can’t tell you what the world’s going to look like in six months. If the world looks more difficult, we’ll adjust accordingly. We always try to be extremely nimble in how we think about these things,” Solomon said.

Still, some argue that there won’t be a massive wave in layoffs. For one, many companies are still citing labor shortages, especially in light of the ‘Great Resignation’ phenomenon. If the job market continues to hold up, that could minimize the economic fallout from a recession.

Van Saun said some types of companies might be more likely than others to pull back on hiring or cut jobs.

He noted that huge banks like Goldman Sachs are clearly being hit by “subdued” volume for deals as the stock market has cooled. And he pointed out that many tech companies may need to pull back on hiring after years of being in a “grow grow grow mode where you get talent wherever you can.”

Some economists don’t seem overly worried yet either.

“The labor market is softening, but the change is so far gradual,” said Bill Adams, chief economist for Comerica Bank, in a report Thursday. He noted that the tech, financial services and retail sectors are most likely to keep pulling back on hiring. But other parts of the economy remain strong.

“Job postings are still extremely high. Some employers have probably started slow-walking hiring decisions, but others who are more confident about their business’s prospects are still eager to fill open slots,” Adams wrote.