During a period economists have dubbed the “Great Freeze,” when hiring activity and job mobility have slowed dramatically across the United States, it may be wiser for many professionals to pause the habitual cycle of submitting résumés and job applications and instead devote their energy to conceptualizing and refining a comprehensive business plan. This moment of relative stillness in the labor market could serve as a strategic window for those who have long contemplated self-employment or entrepreneurial ventures to evaluate their readiness, formulate ideas, and prepare for the next economic thaw.
Ege Aksu, an economist with the workforce intelligence firm Revelio Labs, has carefully studied evolving patterns of U.S. entrepreneurship and employment behavior over the last several years. Utilizing a rich dataset derived from publicly available professional profiles—primarily from networking platforms such as LinkedIn—covering the period between 2019 and June of this year, Aksu identified consistent and revealing trends. Her analysis suggests a striking inverse relationship between hiring rates and entrepreneurial transitions: as corporate hiring declines, more individuals who were previously job seekers or job switchers decide to establish their own enterprises. In essence, when traditional employment opportunities dry up, entrepreneurial ambition tends to surge.
In an interview with Business Insider, Aksu explained that such upticks in business formation may not always stem from pure inspiration or long-held dreams. Rather, they can often arise from economic necessity. While overall job creation in September slightly exceeded expectations, those gains were heavily concentrated in a narrow set of industries, leaving much of the labor market relatively stagnant. Cory Stahle, an economist at the Indeed Hiring Lab, echoed this assessment, observing that, despite occasional bursts of hiring optimism, the U.S. job market remains cool and subdued. ZipRecruiter has likewise described this prolonged lull—during which both employers and employees have adopted a wait-and-see approach—as the “Great Freeze.” Supporting this view, recent Bureau of Labor Statistics data revealed that key indicators such as voluntary quits, layoffs, and new hires have all stayed at unusually low levels.
“Employers and job seekers alike are exercising patience, cautiously waiting for uncertainty to pass before making major moves,” explained Nicole Bachaud, a labor economist at ZipRecruiter, in a previous discussion with Business Insider. Her comment underscores the widespread sentiment that risk aversion currently prevails across the employment landscape.
If you have recently navigated this uncertain climate by pivoting to self-employment or launching your own business, Business Insider is seeking stories from individuals adapting to these transformative conditions and encourages readers to share their experiences at mhoff@businessinsider.com.
Meanwhile, self-employment in its many diverse forms—ranging from independent contracting to gig-based freelancing—is undergoing a significant expansion. According to research conducted by ADP, the population of independent contractors in the United States surged by approximately 50% between 2019 and 2024. Economist Łukasz Below attributes this dramatic spike to shifting labor dynamics that accelerated particularly during the latter half of 2020 and the first half of 2021, when the global pandemic disrupted conventional workplace norms. The rapid normalization of remote work and the proliferation of digital, platform-based services made it increasingly feasible for workers to operate autonomously rather than under traditional employment structures.
Looking ahead, Aksu predicts this pattern will likely persist, anticipating that an even larger proportion of job switchers will embrace entrepreneurship in the coming year. Her outlook is tempered by the expectation that the current hiring slowdown will not dissipate rapidly. As a consequence, many recent graduates—facing a difficult and highly competitive job market—may also choose to pursue self-started business ventures as a pragmatic alternative.
For those considering taking such a step, careful preparation is crucial. Sharon Miller, president of Business Banking at Bank of America, advises aspiring entrepreneurs to conduct a thorough self-assessment before embarking on any venture. She stresses the importance of ensuring that their chosen business concept aligns both with their personal skills and intrinsic passions, and that genuine market demand for the idea exists. Equally essential is performing meticulous research on prospective competitors and clearly identifying a target customer base. Miller also highlights the necessity of flexibility: new entrepreneurs must be mentally and operationally prepared to troubleshoot emerging challenges, pivot when required, and revisit their strategies as external conditions evolve.
“What will the structure of your operation look like? Who are your principal competitors? What mission and long-term vision will define your company?” Miller asked rhetorically, emphasizing that these fundamental questions are not merely theoretical exercises but core elements of sustainable planning. She urged entrepreneurs to consistently revisit their business blueprints, since economic cycles, consumer habits, and industry trends all change more rapidly than many expect.
For professionals not yet ready to commit fully, exploring a nascent idea as a side hustle can serve as an accessible and relatively low-risk entry point—provided that one remains compliant with workplace policies. “You need to make sure your side business does not directly compete with your primary employer or create conflicts of interest,” advised Ted Rossman, senior industry analyst at Bankrate, in a prior interview. His cautionary note reflects the importance of maintaining professionalism and ethical boundaries while testing entrepreneurial waters.
Meghan Lim, who successfully transitioned from a financial analyst role to self-employment, also shared practical wisdom with Business Insider. She recommended that newcomers start with only one manageable side project to prevent overextension. Additionally, she emphasized building an emergency savings buffer to cushion early financial volatility and suggested delaying full-time self-employment until earnings from the side venture surpass one’s primary salary for several consecutive months. Equally important, Lim said, is introspection: “Ask yourself why you’re doing it—whether the work truly fulfills you and whether you can envision sustaining that motivation for the next several years.”
Finally, Aksu noted that beginning a business today may, in certain respects, be easier than ever before. Emerging technologies, particularly artificial intelligence tools, along with the increasing acceptance of flexible work arrangements, have lowered traditional barriers to entrepreneurship. “This shift,” she observed, “reflects larger cultural changes in how society values autonomy, flexibility, and self-direction in work.”
Readers who have made the leap into entrepreneurship during this unusual economic moment are once again encouraged to share their experiences with the reporter at mhoff@businessinsider.com, contributing to a broader understanding of how the Great Freeze may ultimately be giving rise to a new era of innovation, independence, and resilience in the American workforce.
Sourse: https://www.businessinsider.com/entrepreneurship-increase-hiring-rate-falls-tough-job-market-2025-11
