I would suggest you start preparing for a potential new job by
- using your free time to study, and
- looking for job offers.
An announcement like that of your management basically tells (to me) "you are free to secure your future any way you want, including getting a new job". Sending your CV to other companies and even going to interviews still does not oblige you to anything yet. However, you get valuable feedback and experience in interviewing and selling yourself on the job market. And since you still have a regular source of income, you aren't forced to accept the first job offer you get - you are free to be picky as yet, but if you get a really good offer, all the better.
On the other hand, use the time you have to make up for your relative lack of experience. If you can list on your CV that even though you have no commercial development experience with technology or language X, but you have studied it out of passion in your free time, and/or did some pet projects, it certainly is a plus in the eyes of most potential employers.
But even if you eventually stay at your current workplace, your studies will keep your brain in shape. Getting used to spending the day doing nothing useful will make you sluggish and demotivated in the long run. It is hard from this state of mind to get up to speed when the next project arrives. OTOH if you do spend your time practicing and learning, your manager will most likely appreciate your enthusiasm and may find a good use for the skills you acquired.