LOS ALTOS, Calif., – July 23, 2007 – Corporate demand for tech/engineering talent is at an all-time high, driven by a strong economy and surging global demand for oil, according to a new report by Staffing Industry Analysts, the nation’s premier research and analysis firm covering the contingent workforce.
Staffing Industry’s first-ever Tech/Engineering Staffing Growth Assessment estimates 9% growth in 2007 and 9.5% growth in 2008 for spending on entry, mid-level and senior temporary tech/engineering workers, as measured by nationwide staffing company revenue growth. From 2004 to 2006, growth averaged 12% annually.
“Tech/engineering talent continues to be scarce and that means corporate buyers need to be prepared to aggressively compete and manage these resources carefully,” said Barry Asin, Chief Analyst of Staffing Industry Analysts. “In this environment, corporate buyers must leverage VMS systems to maximize productivity and choose their staffing partners carefully. For staffing companies supplying tech/engineering talent, the No. 1 priority for buyers is worker quality.”
The report defined tech/engineering jobs to include, architects, surveyors, engineers (cross every industry segment) electrical and electronics drafters, landscape architects, architecture and civil drafters, mechanical drafters, engineering technicians, surveying and mapping technicians, and cartographers and photogrammetrists.
The report, designed to help corporate buyers make smarter buying decisions of contingent labor and for staffing firms providing staffing services, included the following key findings:
- Tech/engineering unemployment is 1.7%, the lowest level since 2000. Unemployment is 1% or lower for petroleum engineers (0.7%), architects (0.8%) and civil engineers (0.8%). The report noted that there is an “extreme shortage” of these workers at all levels.
- The vast majority – 81% – of tech/engineering total employment is in three major market sectors: manufacturing, architecture and engineering consulting, and government.
- Half of all tech/engineering employment is in just 25 metropolitan areas. Six of those markets are in California and include Los Angeles-Long Beach-Santa Ana, San Jose-Sunnyvale-Santa Clara, San Francisco-Oakland-Fremont, Santa Ana- Anaheim-Irvine, San Diego-Carlsbad-San Marcos, and Oakland-Fremont- Hayward. Huntsville, Alabama is the metro area with the highest concentration of tech/engineering employment relative to total employment.
- The top 10 providers of tech/engineering workers account for 58% of total revenue. A total of 20 staffing companies had revenues in excess of $50 million.
- The top 10 staffing providers of tech/engineering skills are Allegis Group (Aerotek), Hanover, MD.; Adecco SA of Switzerland; Volt Information Science in New York City; American Crystal Holdings in Dedham, Mass.; CDI Corp of Philadelphia; MPS Group Inc. of Jacksonville, Fla.; PDS Technical Services of Dallas; Kelly Services of Troy, Michigan; Manpower Inc., of Milwaukee; and TRS Staffing Solution in Scotland.
For more information about the report, or to purchase Corporate Membership to obtain access to Staffing Industry’s research, contact Client Services at Staffing Industry Analysts, call 800-950-9496 or email@example.com.