Every single change in the economic conditions has smaller or bigger consequences on every company. Some loses business, some shuts down, some play low and many withdraw benefits. Compromises have to be done and majorly it is the people who bear this ruthlessness. To sail the organizations on safer shores amidst the mounting insecurities paved by globalization, fluctuating economic conditions etc is considered to be the responsibility of the management but off late the fact that this task can better be achieved with a dedicated team of Leader & follower is receiving attention of everyone . Even during recession it has been found that those organizations that nurtured this bond between manager and subordinates have come out safely. The leader is therefore like a savior not only to the employees but also for the organization who as to adjust the leadership strategies and update skills to meet the challenging situations arising now and then. Key Words: Employee behavior, Manager’s challenges, recession, leadership skills, habits, change