Labor Forecast Predicts 8.7% Increase in Demand for Temporary Workers
G. Palmer & Associates News Release (10/08/14)
Demand for temporary workers in the U.S. is expected to increase 8.7% on a seasonally adjusted basis for the 2014 fourth quarter, when compared with the same period in 2013, according to the Palmer Forecast, released today. The current trends point to high single-digit [temporary] help growth for 2014, with year-to-year growth rates beginning to modestly decline.
"Our forecast for the 2014 fourth quarter follows recent trends, demonstrating growth and indicating another increase in demand for temporary workers, marking the 19th consecutive quarter of [year-to-year] increases," says Greg Palmer, founder and managing director of G. Palmer & Associates. "The data is also showing that with the advent of lower unemployment rates, labor is tightening, wages in certain categories are increasing, and [temporary] help as a percentage of new job growth is beginning to taper off. This points to the likelihood of increases in margins, direct hire, and conversion fees in the staffing industry."