September 01, 2012

Market for Contingent Labor Continues to Be Strong

Buyer bullishness is greater for temporary and fulltime employee than for independent contractors as cost is going to be a major driver in contingent worker engagement. As a majority of the buyers are optimistic on growth in the coming years, 2012 will see a rise in contingent workforce that will continue till 2014. As per a buyer survey, a rise of up to 18 % by 2014 is estimated. Average annual pay will increase by 3.12%, which will indicate an upward trend in job opportunities in engineering, finance staffing, IT staffing, clerical staffing and industrial professionals.  Blue-collar jobs will see the maximum growth in 2012.

Where are the hot spots?

Few states such as New Mexico, Oklahoma, North Dakota, and Wyoming will see growth in leisure and hospitality, professional and business services, health care and wholesale trade. U.S. temporary staffing is projecting a growth of 9% in the current years, which will continue in the year to come, though relatively lower than the current year.

Since large numbers of the service buyers are unaware of online staffing potential, it is restricted to IT, telecom, and technology industries, which could be major area of untapped potential to leverage. Contingent worker on-boarding remains the choice of the buyer in spite of worker quality, productivity, and competitive price.