The new year is right around the corner and businesses are in the process of finalizing business plans and budgets for next year. So how exactly should we expect 2018 to impact the US staffing and recruiting industry?
Here are a few trends that may directly affect staffing agencies across the country in the new year:
- According to the U.S. Bureau of Labor Statistics, the unemployment rate was at a 16-year low at 4.2% in September 2017. Brief reminder: the unemployment rate was at 10% in 2009 during the Great Recession.
- U.S. staffing jobs were steady in 2016 at 2.3 million for temporary and contract staffing employment according to the most recent American Staffing Association (ASA) Staffing and Employment Sales Survey.
- Since 2009, temporary and contract staffing jobs has grown nearly twice as fast as the GDP.
- By 2026, the job force is forecasted to increase by 10.5 million people.
- GDP is expected to grow approximately 2.3% in 2018.
- According to a forecast by U.S. Bureau of Labor Statistics, the GDP is expected to grow 2.0% annually for the decade of 2016-26, compared to the GDP annual growth of 1.4% for the preceding decade of 2006-16. For additional comparison, economic growth is not likely to reach the 3% growth rate as experienced in the 1970s to early 2000s. This is largely due to a higher population of older generation groups not participating in the work force.
- According to a recent survey by DATIS, 65% of executives are planning to invest in technology in 2018.
- Continued efforts to streamline and fast-track the recruiting process are key to a staffing agency’s success in 2018. Robust front and back office software will help to free up the time of your recruiters as well as improve the candidate experience.
- An emphasis on mobile self-service for candidates is increasingly more important as job searching and applying shifts from desktop to mobile. As millennials search and apply for jobs while on the move, tracking candidate information via mobile has become essential to maintain engagement with a tech-savvy and tech-dependent group of candidates.
Happy business planning season and (almost) New Year!
American Staffing Association, Staffing and Employment Sales Survey*, https://d2m21dzi54s7kp.cloudfront.net/wp-content/uploads/2017/11/StaffingSuccess-Special17-Texterity-pages.pdf
Note: You must be a member of ASA to access this source.
U.S. Bureau of Labor Statistics, Projections overview and highlights, 2016-26, https://www.bls.gov/opub/mlr/2017/article/projections-overview-and-highlights-2016-26.htm
Human Resources Today, HR Trends 2018: What to Expect (by DATIS), http://www.humanresourcestoday.com/2018/recruitment/trends/?open-article-id=7594476&article-title=hr-trends-2018–what-to-expect&blog-domain=datis.com&blog-title=datis
SearchHRSoftware TechTarget Network, HR tech trends and disruptions for 2018: An expert view, http://searchhrsoftware.techtarget.com/podcast/HR-tech-trends-and-disruptions-for-2018-An-expert-view