It’s that time of year again.
Everywhere you look, economists and business experts are making their predictions about what the year ahead will hold. Some are more optimistic than others, but all acknowledge the growing role temporary staffing will play in our country’s business success:
- The temporary staffing industry has grown dramatically in the four years since the Great Recession. Staffing Industry Analysts has recently predicted that the U.S. staffing industry will continue to grow at a rate of 6% in 2014.
- Companies are employing more and more temporary and contract workers. Currently, temporary employment as a percent of total employment resides at 1.89% – near historic levels.
Undoubtedly, the temporary workforce is a permanent part of the workforce – throughout the U.S. and right here in Connecticut. How can you use this reality to your company’s advantage in the year to come? Though we don’t actually have a crystal ball, this list of factors driving staffing growth may spur a few ideas for you:
Economic uncertainty is the one true constant. Given the unpredictability in our marketplace today – fueled by the implementation of the Affordable Care Act, the recent governmental shut-down and stock market fluctuations – the staffing industry will likely continue to grow as companies bring on temporary workers and part-timers when workers are needed.
The way we work is changing. In many industries, companies are starting to outsource projects that are outside their core competency. In addition, many tasks are being rewritten as projects. This evolution is particularly notable in the IT, engineering, legal and financial fields. Skilled workers are recognizing these opportunities and are entering the world of contract labor – which, in turn, is fueling rapid growth in statement-of-work (SOW) contracting. In many ways, contracting is the only way to attract needed, skilled labor, and it provides greater opportunities for cost containment.
Backlash against off-shore contingent solutions continues to heighten. Many companies have grown dissatisfied with the communications gap that exists between themselves and offshore support workers. As a result, they are turning back to onshore contractors to staff-up during their busy seasons.
Demographic shifts are changing the face of work. An increasing number of workers will look to contract work, part-time work and other less-than-long-term employment arrangements. Here’s why:
- Younger workers are more mobile and have grown up with the “new normal” of temporary work. In general, they’re quite receptive to contract and other non-permanent work situations.
- People are staying in the workforce longer. The recent recession, coupled with the fact that people are simply living healthier longer, is causing people to look for new ways to stay employed.
- Technology is providing the flexibility people need to use their skills in new ways. Combine this with the focus on statement-of-work contracting, and you have both the employment model as well as the needed workforce to propel growth in the temporary employment sector.
Ready to see how a temporary staffing solution could benefit your company’s goals and objectives in the year ahead? A. R. Mazzotta would like to offer you a free workforce consultation to discuss your business goals and create the right staffing plan to help you achieve them.