You’ve likely already set your goals and objectives for 2016, but have you stopped to consider how some of the changing industry trends may impact the success of your staffing firm in the New Year? By staying ahead of this year’s staffing industry trends, you’ll be better prepared to keep up with the changing staffing landscape and stay competitive as the industry changes and grows. [more]
According to Staffing Industry Analysts, below are four key trends that you should look out for as we approach 2016:
There is a widening skills gap
To put it simply, demand for contingent labor is increasing, while the supply of qualified candidates is steadily decreasing. As a result, recruiters will have to fight harder for a smaller number of viable candidates, increasing the need for marketing and other recruitment tools. As we approach 2016, temporary staffing firms may need to start exploring new recruitment methods to help foster relationships with qualified staffing candidates.
The staffing industry will continue to grow
According to Staffing Industry Analysts, the temporary staffing industry is projected to grow 6 percent through the end of 2015, reaching about $115 billion by the end of the year. The industry is then expected to expand another 5 percent in 2016, reaching an all-time high of $121 billion. Segments slated for the most growth in 2016 include education at 15 percent and healthcare at 12 percent.
Changing technology will move the industry forward
As we move toward 2016, it will become increasingly important that staffing firms find a way to integrate new technologies into their recruitment and hiring models. We are already seeing many of the larger staffing firms invest in digital, mobile and automated systems to develop more data-driven recruitment processes. In 2016, we expect to see continued VMS and MSP growth, increased use of virtual offshore recruiting and an increased presence of online staffing models.
The ACA will continue to warrant change
As you may know, the Affordable Care Act (ACA) is an extensive healthcare legislation that presents significant challenges for the temporary staffing industry. In order to avoid being slammed with harsh penalties, it is important that staffing firms are aware of the periodic updates, and are proactive in complying with the changing regulations. Read our October blog post for more information about the recent ACA updates that may impact staffing firms.
If you’d like to learn more about how these trends may impact your staffing firm, please contact a member of our team. We can help you stay ahead of these industry changes, and prepare for an easier transition into 2016.
For more information, please visit the Strategic Services section of our site.