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Nov 12, 2009 -- Temp agencies showing more staffing activity

The latest headline unemployment number has now topped 10 percent. It's entirely possible that it may rise to 11 percent still. Another indicator Clark looks at is U6, which is a more realistic measurement of unemployment, and that has topped 17 percent.

U6 takes into account those who are involuntarily working part-time because they can't find full-time work and those who have given up looking for work out of sheer frustration.

Sounds gloomy, right? Well, Clark is here to share a ray of hope that he sees on the horizon.

Another indicator that economists look at involves temporary help firms. All through this recession, temp agencies have been reporting fewer and fewer jobs. But that's actually turned and they're now reporting more temporary staffing activity.

If you look at prior recessions and job downturns, the first hiring that companies do when they come out the hole involves temporary employees. So this stat about temp work bodes well in Clark's eyes.

In big companies when a job is posted, most of the hiring decisions come from internal candidates. You want to get in a position where you are an internal candidate and temp work is one way to do that.

Unfortunately, Clark won't be able to answer any questions submitted via commenting. If you have a question, please try posting it to our message boards.

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What others are saying

  • Home Depot now using temps only
    That's right-----temps only for 90 days
    then good bye. Temp staffing is increasing because major companies in retail will start using the temp agency like a cattle farm. No health care, part time hours and no other benefits. Thank you Obama for causing this with the new health care plan coming next year. The loop hole will be---corporations will provide health benefits to their selected full time staff but will save a bundle using 80% part time temp slaves.
  • Temps not always getting out the best worker.
    I applied for a Temp agency that hired office help in Oregon. I have a long history of secretarial work, and a degree in Business Management, Sales & Marketing and Office Technologies. I also owned a secretarial/notary business for over 8 years until I sold it.

    But the Temp company wanted my entire value as an office employee to come down to MY TYPING SPEED. Production typing with out with the typewriter! If you don't get this fantasy speed, then they only want to hand you a wooded sign to spin on the street corners for some kind of car dealership or furniture store etc.
  • Temping
    I've been a temp at a company for 3 years. They don't want me to leave but won't hire me either, even when they had an opening for the work I do. Yet I get weekly paychecks and have a great level of independence.
  • Capitalism - Good and Bad
    Love it or hate it, we live in a capitalist society. Everyday across the globe every US embassy and consular office has thousands of applicants requesting visas to come to America.

    Thousands of illegals test the borders of our country everyday with the hope of finding a new life. Tens of thousands of Vietnamese refugees who in the 70's were called 'boat people' are now entrepreneurs, business owners, political officials, military leaders, etc.

    What do these people see, that we as Americans cannot see? Tough times make for tough people. The same toughness our forefathers faced as pioneers.

    So, hunker down, regroup and reload and do what needs to be done for you and your family. A temp job is just that - TEMP - its not a career.
  • riding the wave
    Many people go through the motions of looking for work while they are collecting unemployment benefits. They want to ride the wave and collect as much as they can. I don't believe Clark's numbers take this into account. Also unemployment benefits have been extended so more and more people are doing this.
  • Clark is right on
    Clark is right on with this. All the comments appear to be about how bad employers are. Its common business sense when things are just starting to clear that you hire temps. Temps aren't really all that cheaper because you pay the agency $20hr for a job that the employee gets $12 hr but it doesn't commit you long term and gives flexiblility if things turn sour and also allows you to see how well the employee works out.
  • "Temp agencies should be outlawed. All companies should have to hire their own employees. The law should be 70% full time and 30% part time. Full time is 40 hours with benefits. This country is going down because there are to few full time jobs anymore unless you work for the government."

    Ha! This isn't Communist China dude. It's called capitalism. We don't need or want more guberment control.
  • I agree
    I agree with the person that said Ya more activity, More Talk. Less walk.
    Like Jerry said "show me the money"
  • Ya more activity. More talk. Less walk.
  • Temp agencies should be outlawed. All companies should have to hire their own employees. The law should be 70% full time and 30% part time. Full time is 40 hours with benefits. This country is going down because there are to few full time jobs anymore unless you work for the government.
  • temp agencies
    I disagree with the being on the internal and being temp. If you are temp, you are just that, unless you have 1 year in with them, and then there is no guarantee, I am proof positive. The reason they may hire temps is that the have to pay no benefits. They can also let you go on a dimes notice........Been both places had both. I have posted for temp jobs with agencies I have worked with. They too, are hiring people from someone who knows someone, who knows someone........so even the agencies aren't playing fair.......SIGNED TRYING, OVER AND OVER AND OVER
  • A nation of temps
    Upturn, no Clark. Companies hire temps because they are much cheaper than full time employees, you know, the kind who will be costing companies even more when Obamacare is signed into law. I see payrolls being slashed as companies reduce their full time staffs to a bare minimum. Remember too that temps can't organize and form unions at the companies they work for, and that is just another reason to use them.
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