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Temp revenue growth accelerates to median 7% in October indicating strength of market, Pulse survey finds

December 04, 2017

US temporary staffing revenue rose a median 7% year over year in October — an acceleration from September’s 3% rate — among staffing firms taking part in Staffing Industry Analysts’ monthly Pulse survey.

“A median growth rate of 7% for temporary staffing overall indicates strength of demand in the market,” Research Analyst Sree Thiyagarajan said. “Growth was noticeably strong in the engineering and marketing/creative segments where median year-over-year growth was in double digits.”

Median year-over-year revenue growth accelerated in the following staffing segments in October from September:

  • Allied healthcare: to 13% from 1%
  • Engineering/design: to 21% from 10%
  • Per diem nursing: to 13% from 6%
  • Marketing/creative: to 10% from 5%
  • Industrial: to 6% from 2%
  • Office/clerical: to 3% from 2%
  • Clinical/scientific: to 4% from 3%

Median year-over-year revenue growth decelerated in the following staffing segments in October from September:

  • Locum tenens: to 5% from 12%
  • Travel nursing: to 6% from 9%
  • IT: to 7% from 9%
  • Finance/accounting: to 2% from 3%
  • Legal: to 1% from 2%

The report also found the net proportion of firms reporting an increasing trend in new orders rose to 41% in October, up from 36% in September and higher than the last 12-month average of 38% for this metric. The net proportion of firms reporting an increase in new orders rose in two categories — IT and healthcare — but decreased slightly in industrial and manufacturing.

Average sales difficulty edged down to 2.69 in October from 2.77 in September (on a five-point scale, with five being most difficult), while average recruiting remained at 3.11 in the survey overall. IT staffing firms and firms supplying the healthcare industry reported a decrease in difficulty levels for both sales and recruiting. Industrial staffing firms reported an increase in difficulty levels for both sales and recruiting. Firms supplying the manufacturing industry reported a decrease in recruiting difficulty, while sales difficulty increased.

Pulse Survey results are based on a monthly survey of US staffing firms. Data from the month of October was submitted by individuals from 153 staffing companies. SIA corporate members can view a high-level summary of the report, and the full report is available to participants.

It’s free to take part, and the next Pulse Survey is currently underway. Participate now by selecting this link.