Contract Staffing - Where's It Headed?

Posted by Brad Loetz on Aug 27, 2010 12:49 PM


Given the recent recession, clients requiring Integration assistance understand more than ever, the power of a contract (contingent/temp) workforce. The current U.S. contract workforce has grown to 2% of all employment, from a fraction of a percentage a decade or two ago. The contract workforce is estimated to grow to approximately 4% in next 5 to 6 years.

man_at_computerA paradigm shift is taking place in this recovery that is impacting the growth rate, causing this method of staffing to grow more rapidly than in the past. Contract workers have, and will continue to, become a larger part of total employment providing corporations:

  • specialized as-needed expertise
  • broad experience from varied client environments
  • flexibility in staffing levels
  • seasonal variation in staffing levels
  • better visibility into labor costs
  • increased access to screened/qualified candidates
  • contract-2-hire on-boarding methodology

With little visibility into the future of economic, tax, and regulatory affairs, companies will charge forward with customer retention, product/service innovation, and new customer acquisition. However, they will do this with as flexible of a workforce as possible.