Tempered expectations: The industry will grow, but businesses' increased stability will reduce demand for temps

Over the five years to 2018, the Office Staffing and Temp Agencies industry has recorded strong growth due to a stabilizing US labor market and overall economic improvements. Industry revenue increased rapidly in both 2014 and 2015 as the national unemployment rate declined by almost a full percentage point in each year. Additionally, despite weakening demand from the industrial segment, stronger demand for temporary staff from the professional services sector helped the industry move forward in 2015 and 2016. Having benefited from various macroeconomic trends over the past five years, industry revenue growth is expected to slow over the five years to 2023...purchase to read more.

Industry Statistics & Market Size
Revenue
$178bn
Annual Growth 13-18
5.6%
Forecast Growth 18-23
Profit
Employment
3.6m
Businesses
37,693
Market Share of Companies
There are no companies with a dominant market share in this industry

Industry Threats & Opportunities

  • Sustained demand for temporary staff from the professional services sector has helped the industry move forward
  • Temp hiring within the healthcare market has become a key driver of industry growth
  • Rising unemployment actually represents an opportunity for industry operators
  • Industry Report - Industry Locations Chapter

    The regional spread of industry establishments and employment closely resemble population distribution across the country. The distribution of revenue generally positively correlates with the number of establishments within a region. But some regions, such as the Mid-Atlantic (14.0% of industry establishments) and West, have higher revenue per establishment as a result of the relatively high-value jobs in those regions.The Southeast region is home to 25.5% of industry establishments, the largest portion attributable to any region. The percentage is in line with the Southeast’s share of the population, which accounts for 25.7% of the United States. Within the Southeast, Florida maintains a dominant presence, accounting for just under a quarter of regional industry employment. Wit...purchase to read more.

    Additional Insights for the Office Staffing & Temp Agencies Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Office Staffing & Temp Agencies Industry are

  • Having a good reputation
  • Must have license
  • Access to multiskilled and flexible workforce
  • IBISWorld analysts also discuss how external factors such as Number of temporary employees and National unemployment rate in the Office Staffing & Temp Agencies industry impact industry performance..

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    What's in this report

    What is the Office Staffing & Temp Agencies Industry?

    Office staffing and temp agencies supply businesses with workers for limited periods of time to supplement existing staff. Although temp workers remain employees of the temp agency, temp agencies do not provide direct supervision of their employees at clients’ work sites.

    Industry Products
  • Office, clerical and administrative staffing
  • Industrial staffing
  • Healthcare staffing
  • Information technology staffing
  • Engineering and scientific staffing
  • Professional and managerial staffing
  • Industry Activities
  • Supplying temporary staff (except farm labor)
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Number of temporary employees
  • National unemployment rate
  • Corporate profit
  • Business sentiment index

  • Current Performance
  • The labor market
  • Recent developments
  • Industry structure
  • Chart: Revenue Growth

  • Industry Outlook
  • Mixed macroeconomic trend
  • Business trends evolve
  • Industry structure
  • Table: Office Staffing & Temp Agencies Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Office Staffing & Temp Agencies Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Mining
  • Wholesale Trade
  • Retail Trade
  • Professional, Scientific and Technical Services
  • Professional Employer Organizations
  • Healthcare and Social Assistance
  • IT Consulting

  • Key Selling Industries
  • Commercial Leasing
  • Computer Stores
  • IT Consulting
  • Office Supply Stores
  • Wired Telecommunications Carriers

  • Products & Services
  • Industrial staffing
  • Office, clerical and administrative staffing
  • Professional and managerial staffing
  • Information technology staffing
  • Healthcare staffing
  • Engineering and scientific staffing
  • Other
  • Chart: Office Staffing & Temp Agencies Industry Products and Services Segmentation

  • Demand Determinants
  • External industry competition
  • Short-term labor demand and the unemployment rate
  • Changes in technology, systems and lifestyles

  • Major Markets
  • Professional, retail and other service-oriented sectors
  • Technical sectors
  • Industrial
  • Other
  • Chart: Major Market Segmentation for the Office Staffing & Temp Agencies Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Profit
  • Wages
  • Other costs
  • Chart: Cost Structure Benchmarking – Sector vs Office Staffing & Temp Agencies

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Office Staffing & Temp Agencies Industry

  • Industry Globalization
    There are no major players in this industry. This report includes analysis of other companies.
    Capital Intensity
  • Chart: Level of Capital Intensity for the Office Staffing & Temp Agencies Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Office Staffing & Temp Agencies Industry
    Includes:
  • Industry Revenue (2009-2023)
  • Industry Gross Product (2009-2023)
  • Establishments (2009-2023)
  • Businesses (2009-2023)
  • Employment (2009-2023)
  • Wages (2009-2023)
  • National Unemployment Rate (2009-2023)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Table: Industry Financial Ratios
    American Staffing Association (Asa)
  • An industry association that represents the US staffing industry.
  • Evaluation-To-Hire
  • The process of hiring temporary staff and evaluating them to consider full-time employment.
  • Just-In-Time (Jit)
  • A strategy implemented to improve profitability by reducing inventory and purchasing the raw materials that are needed for the immediate term only.
  • Penetration Rate
  • The percentage of the total labor force that is made up of temporary workers.
  • Temp
  • An abbreviated term for a temporary worker; someone who is hired on a day-to-day or contracted bases.
  • Tenure
  • The duration of time that an employee works with a temporary staffing firm.
  • Turnover
  • The rate, measured as a percentage, at which outgoing (old) employees are replaced by incoming (new) employees within an industry.
  • What Our Customers Say

    Why buy this report?

    The Office Staffing & Temp Agencies industry market report contains data and analysis of the most influential current and future trends shaping the industry. IBISWorld’s in-depth industry market research is presented in a logical, user-friendly format, and provides growth and profit forecasts for a five-year outlook period.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Office Staffing & Temp Agencies:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Office Staffing & Temp Agencies market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Office Staffing & Temp Agencies, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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