The thought of a recession can be frightening, especially for those who are invested in the stock market or who own their own business. However, some industries are more likely to weather a recession better than others. In this article, we’ll explore ten industries that have been historically recession-proof, and why they may continue to be so in the future.


People will always need medical care, regardless of the state of the economy. Healthcare is one of the largest and most stable industries in the world, with consistent growth year over year. According to the Bureau of Labor Statistics, healthcare jobs are projected to grow 14 percent from 2018 to 2028, which is much faster than the average for all occupations. As the population continues to age, demand for healthcare services will only increase, making it a safe bet for investors.


In today’s society, technology is a necessary part of daily life. The tech industry has been growing rapidly for years, with no sign of slowing down. During the last recession, technology companies were relatively insulated from the economic downturn, as people still needed their devices and software. Plus, as companies look to improve efficiency and automate processes, the demand for tech solutions will only continue to rise.


Utilities are an essential part of modern life, providing electricity, gas, and water to homes and businesses. While people may cut back on other expenses during a recession, they are unlikely to skimp on their utilities bills. As a result, utility stocks tend to be more stable and less volatile than other sectors. Utility companies often have a low beta, meaning they tend to move less than the overall market, making them a good choice for conservative investors.


Education is another industry that is relatively recession-proof. During tough economic times, people often turn to education to improve their skills and make themselves more marketable in the job market. While enrollment in traditional four-year colleges and universities may decline during a recession, vocational and trade schools may see an uptick in interest. Additionally, online education and training programs have become increasingly popular, which can offer investors another avenue for growth.

Consumer staples

Consumer staples are the products that people need to buy, regardless of the economic climate. These include items such as food, beverages, and household supplies. Companies that produce these goods tend to be more stable than others, as people will continue to buy these products even if they’re cutting back on other expenses. Additionally, some consumer staples companies have strong brand recognition, making them less susceptible to market volatility.


The defense industry is another sector that is typically recession-proof. During a recession, governments may increase their defense spending as a way to stimulate the economy. Additionally, defense contracts are often long-term, providing a stable source of revenue for companies in the industry. The downside is that this sector is highly regulated and requires a lot of capital investment, which can make it difficult for new entrants to compete.

Healthcare IT

While healthcare was mentioned earlier as a recession-proof industry, healthcare IT deserves its own spot on the list. With the rise of electronic health records and telemedicine, healthcare IT has become an increasingly important part of the healthcare industry. These technologies can improve patient care and reduce costs, which makes them appealing to healthcare providers and insurers alike. As healthcare continues to grow, healthcare IT companies are likely to benefit.

Waste management

Waste management may not be the sexiest industry, but it’s one that is essential to modern society. As populations grow, so does the amount of waste that is produced. Waste management companies are responsible for collecting, transporting, and disposing of that waste, making them a necessary part of the economy. Additionally, waste management companies often have long-term contracts with municipalities.

Food Industry

The food industry is another recession-proof industry, as people will always need to eat regardless of the economic climate. The industry comprises of companies involved in food production, processing, and distribution, including restaurants and food retailers. During a recession, people may reduce their spending on eating out, but they will still need to purchase groceries to prepare meals at home.

Government Services Industry

The government services industry is an essential industry that is largely insulated from economic volatility. This industry comprises of government agencies and services such as law enforcement, military, and public education. These services are critical for the smooth functioning of a society and are unlikely to experience significant cutbacks during a recession.

Discount Retail Industry

During a recession, consumers are more price-conscious and tend to focus on spending their money wisely. Discount retailers such as Dollar General, Walmart, and Target benefit from this trend as they offer low prices on everyday items. These retailers can attract more customers during a recession and continue to grow their revenues.


Investing in recession-proof industries can help investors mitigate the risks associated with economic downturns. While no industry is completely immune to a recession, the industries listed above have proven to be more resilient and continue to grow even in tough economic times. Investors looking to invest in these industries should conduct thorough research and analysis before making any investment decisions. It is important to note that investing always comes with risks, and past performance is not a guarantee of future results.

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