The COVID-19 pandemic brought an economic downturn that resulted in changes in both talent supply and demand. Staffing firms were forced to adapt and rethink specific business segments that enabled them to adapt and now grow in a post-COVID world. The latest numbers from the American Staffing Association Index reflect a continued upswing in staffing employment, with new starts growing steadily and staffing companies continuing to gain new weekly assignments. The industry is continuing the positive momentum gained in the first quarter of 2021, with most staffing firms keeping very busy with the heightened demand.
In almost every business vertical, the COVID-19 pandemic has impacted employers’ ability to hire and retain full-time employees. This result is good news for staffing firms, as more and more companies will rely on these services for temporary help as they rebuild post-pandemic and beyond. Some of the changes brought by the pandemic have reshaped how we go about doing business and are likely here to stay. Here are some of the top hiring trends post-COVID-19 that don’t show any signs of going anywhere soon.
Remote Working Isn’t Just for Full-Time Employees
When COVID-19 forced employees to work from home, many companies recognized the efficiency and effectiveness of this business model, accelerating a trend that experts say was already happening. Increasingly more companies are opting to enable their employees to work remotely for the foreseeable future, and that’s not just for their full-time employees. Many companies hiring staffing firms are also adopting work-from-home policies for their temporary employees.
Resource Optimization Drives Employee Demand
The pandemic forced many companies to optimize their resources and improve efficiencies. Centralized operations and streamlining of workflows are enhancements that will remain long after COVID-19 is a distant memory. For a growing number of companies these changes have meant bringing many tasks in-house, increasing their staffing needs.
Growth Industries Need a Range of Workers
It is no surprise that the pandemic has caused a boom in the technology, healthcare, and retail segments. Companies are looking for more employees to help them handle the influx of business and are looking to staffing firms to help them quickly fill the voids.
DEI is a Growing Business Imperative
The staffing industry is no exception; it too faces challenges with regard to DEI (Diversity, Equity, and Inclusion). Beginning in 2020 and continuing into 2021, a global spotlight has been placed on inequality and inequity. Staffing firms have responded by implementing strategies to address DEI challenges. According to a 2021 survey by Global Recruitment Insights and Data, two-thirds of staffing professionals say diverse organizations are more effective than their counterparts. Aiming to achieve DEI system wide is smart business.
Making Personal Connections is More Important than Ever
We’ve survived nationwide quarantines and social distancing, but both have made us recognize the importance of making a personal connection in both our personal lives and in our professional ones. Video calls have helped employers and employees connect in ways we never imagined before. Staffing firms are taking full advantage of this technology to increase the frequency of their candidate engagement throughout the pre and post-hiring processes, perhaps making the process even more personal than it has ever been before.
Looking Ahead: The Future Growth of Staffing Needs
According to an April 29, 2021, article in AP News, experts predict that the economy will expand around seven percent – the fastest calendar-year growth since 1984. Not surprisingly, this growth will lead to many employees switching jobs in the near future, increasing the need for staffing services. According to a recent Prudential Financial’s Pulse of the American Worker survey, one in four workers is preparing to look for opportunities with a new employer once the pandemic threat has subsided. In addition, the Microsoft Work Trend Index of over 30,000 employees in 31 countries reported that more than 40 percent of respondents said they are considering leaving their employer this year.
The staffing vertical is hitting its stride, confident of additional growth in 2022 as continued adjustments are made to strategies and operations to meet the new and ever changing hiring demands that are the reality of today’s pandemic economy. Staffing firms will continue to adapt to ensure effective and prompt fulfillment of even more positions to foster business growth and profitability.
If you are interested in learning more about how we can design a business approach to help you start a staffing agency or grow an existing one, download a free copy of our Staffing Company Solutions guide. Inside this guide you will learn more about what Employers Logic has to offer you to meet your unique business objectives to start quick and grow even quicker.