The staffing industry is not only recovering but also growing, with competition for qualified talent continuing to heat up. According to the most recent quarterly American Staffing Association (ASA) Staffing Employment and Sales Survey, U.S. staffing companies employed an average of 2.7 million temporary and contract workers per week in 2021. This is a marked improvement over the 2.5 million recorded in 2020.
“As the U.S. economy continues adding back jobs after the pandemic recession, the staffing industry is playing a key role in getting people back to work,” said Richard Wahlquist, ASA president and chief executive officer. “However, with more than 11 million current job openings, to compete in the war for qualified talent, employers need to finely tune their recruiting and retention strategies, embracing flexibility in work schedules and providing more professional development and upskilling opportunities for their employees.” And, Employers Logic franchise owners are here to help with our employer staffing solutions including back office support, workers’ compensation, and payroll funding.
2021 Saw Record High Growth
More positive news on the successful rebound of the staffing agency market, ASA data show average weekly staffing employment fell 19.5% in 2020 before bouncing back 9.5% in 2021. Annual temporary and contract staffing sales totaled $144.2 billion in 2021, a new record high and an increase of 17.9% from the recession-impacted $122.3 billion in 2020.
Throughout 2021, staffing companies hired a total of 14.1 million temporary and contract employees, up from the 13.6 million hired in 2020. The average length of employment with a staffing agency was 10.1 weeks in 2021, an increase over an average tenure of 9.6 weeks seen in 2020.
Current 2022 Numbers Already Surpassing 2021 Growth
As of April 2022 , The ASA Staffing Index four-week moving average remained at a rounded value of 105, as temporary and contract staffing employment for the four weeks ending April 17 was 13.2% higher than the same period in 2021.
“While school breaks and holidays were a barrier to growth in April, staffing employment maintains a double-digit margin over the level seen last year,” said Tim Hulley, ASA assistant director of research.
There has never been a better time to capitalize on the growing staffing industry by starting a staffing agency.