Skip page header and navigation

US staffing revenue forecast to decline 10% this year

US staffing revenue forecast to decline 10% this year

September 13, 2023

Main content

Revenue in the US staffing industry is projected to decrease by 10% this year to $201.7 billion, according to Staffing Industry Analysts’ US Staffing Industry Forecast: September 2023 Update.

This year’s projected decline in revenue follows robust growth of 34% in 2021 and 20% in 2022.

Macroeconomic concerns are weighing on the industry; other headwinds include clients “labor hoarding,” a shrinking number of remote work positions and B2C work platforms as alternative sources of income.

2023’s projected revenue decline is broad-based with revenue declining in many segments. The biggest decline is in travel nursing, where revenue is expected to fall by 30% this year; however, that follows increases of 190% in 2021 and 52% in 2022.

Meanwhile, commercial staffing revenue is forecast to fall by 8% this year with declines of 7% in office/clerical and 8% in industrial.

IT staffing revenue is expected to decline by 3%.

Still, some segments are projected to grow this year, including locum tenens, which is projected to grow by 12%; engineering, with projected growth of 5%; and education, with a growth estimate of 20%.

Looking ahead to 2024, the report projects the full staffing industry to return to growth with revenue estimated to be up by 3%, though travel nurse revenue is expected to contract by 5%.

Corporate members of SIA can access the full report, including background on calculations and projected growth by segment for 2024.