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The Gig Economy Presents Opportunities and Challenges to the Temp Agency Industry

chromak8, May 22, 2024June 28, 2024

Temp workers euworkers.fr are a large part of America’s second-tier workforce and are often mistreated and excluded from workplace rights. They’re found in every economic sector and occupation: in recycling centers and giant warehouses used by big box stores, janitorial services, manufacturing, hospitality, auto assembly and parts and skilled trades. They also work in office jobs and the professions, at all levels of health care facilities, and a host of public service and government positions. In addition to below-standard wages, they lack benefits, restricted job mobility and have built-in uncertainty about their long-term employment status. They’re also much more likely to be Black or Latino and immigrant, and to find temporary staffing agency jobs in low-wage production and service roles. Staffing agencies regularly evade health and safety regulations, and game the workers’ compensation system to deny temps proper medical treatment when injured.

The Future of Temporary Employment: Trends and Insights

Temporary staffing agencies have a pool of workers they screen and hire, and then assign to jobs that match their skills. When an employer needs temp workers, it enters into a contract with the agency, which defines what types of workers the company wants and the cost per hour that’s paid for their services. The agency then draws workers with the right skills from their pool and sends them to the job, billing client companies based on an hourly mark-up that’s added to the worker’s paycheck.

As the gig economy evolves, it presents opportunities and challenges to the temp agency industry. Agencies that succeed in adapting to these trends will be able to meet rising demand and gain a competitive edge. But those that fail to adapt will struggle.

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