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Influx in temporary workers’ employment a boost to the economy

Posted on April 25th, 2011 Read time: 1 minutes

Across the country, a growing number of employers are helping to stimulate the economy by hiring through temp agencies, according to Wenatchee World.

"When that industry starts to pick up, it indicates employers are starting to hire again," Don Meseck, labor economist, told the news source. "The trend for the last few years has been for employers – especially in an economy that’s recovering – to take tentative steps. Rather than hire people and put them on the payroll, they will wait and see."

Dyann Horton, branch manager for ADD Staffing in Yakima, Washington, points out that in previous years, 10 percent of her clients’ workforce were temporary workers. Now that percentage averages 15 percent to 25 percent, while other companies attracted to the flexibility and cost savings are beginning to employ temporary help for the first time.

The cost savings of not having to offer medical benefits to temporary workers is a major factor in the influx of temps over the past few years, the news source adds.

The Arizona Republic notes that the numbers of employers that provide health insurance for workers is shrinking, and many jobs that do offer coverage require workers pick up a bigger share of the tab. 

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