May 01, 2014

Temp Employment Continue to Surge

Between 2010 and 2013, the number of American temp workers rose by 28 percent. A new study by CareerBuilder and Economic Modeling Specialists (EMSI) finds that this trend will continue this year, with 2.9 million people now working in temporary positions across most industries. Various estimates say that 10 percent of all new jobs created since the recession ended are temporary or contract positions.

“A lot of companies took very heavy losses, and they want more flexibility in their workforce. So they want to be able to quickly ramp up and ramp down their businesses, as needed, and temporary workers provide that flexibility.” ~Jennifer Grasz, Vice President of Corporate Communications at CareerBuilder

According to the study, the biggest increase in temporary jobs in major cities has been in Grand Rapids, Michigan, where the number of temp workers has more than doubled since 2009 and is expected to increase by another 8 percent this year. Other cities to have substantial growth in temp employment include Seattle, Orlando, and Indianapolis.

So far this year, the largest growth in temp employment is in human resources, where hiring has grown by 4 percent since January. Construction and customer service also saw a 3 percent increase in this time period.

The Growth of Temp Jobs

Staffing Industry Growth

Sourcing and managing temporary staff is becoming a major agenda item for companies, and many analysts say that digital tools and services will become more important. 

“Temp hiring often accelerates after downturns, as companies look to control labor costs. But many labor experts now believe the continued hiring of short-term workers marks a structural, lasting shift in the job market.” ~Damian Paletta, Economic Policy Reporter at the Wall Street Journal