Earlier this year, you may have seen our blog post outlining the top staffing trends for 2016. As we near the end of the year, we’re looking back to see how these 2016 trends played out and where we have shifted focus. [more]
Let’s take a look at each of our 2016 trends to get a sense for how the industry has evolved over the course of the year. We’re offering up ways to adapt to the changing trends and predicting where we think the industry is heading next:
The widening skills gap
At the beginning of the year, demand for contingent labor was increasing, while the supply of qualified candidates was steadily decreasing. To help bridge this gap, we recommended that recruiters step up their game with innovative marketing and recruitment tools. Throughout the year, we have seen some great programs initiated at staffing firms across the country, including veteran’s programs and other diversity initiatives. So far, these programs seem to be making good progress in facilitating the recruitment and retention of quality talent.
The growing staffing industry
As predicted in our 2016 trends, the staffing industry has continued to grow over the course of the year, and shows no signs of slowing down. More American workers prefer temporary work than ever before, and industry numbers are at an all-time high. According to Staffing Industry Analysts, the US staffing market is projected to grow a total of 4% in 2016 and then another 4% in 2017. By the end of 2017, the staffing industry is expected to reach a staggering $145 billion.
The impact of changing technology
As predicted, changing technology has become increasingly important to the success of staffing firms. Especially in the growing gig economy, staffing firms are finding it much more important to find ways to integrate new technologies into their recruitment and hiring models. Over the course of the year, we’ve seen staffing firms investing in digital, mobile and automated systems to develop more data-driven, collaborative recruitment processes.
Shifting focus from ACA to overtime
We had predicted that the Affordable Care Act (ACA) would continue challenging staffing firms to maintain compliance and avoid harsh penalties. However, over the course of the year, we have found the overtime rule to be the real game changer in staffing regulation and compliance. The US Department of Labor issued the Final Rule this year, impacting as many as 4.2 million American workers and their eligibility for overtime pay. If you are wondering how the overtime rule might impact your staffing firm, check out our Overtime Resource Center outlining the changes.
If you’d like to learn more about how these trends could impact your staffing firm, please contact a member of our team. We can help you stay on top of the changing industry, and offer funding and support to help you grow your business.
You may also be interested in our new Recruiting Veteran's E-Book.