The Changing Nature of Temp Work

• In Event: Workforce Transitions and Mobility

Abstract

In the United States, the temporary help services (THS) industry makes up over 2 percent of private employment at any given time. However, the mean job spell is short in duration and only a small share of temp jobs convert into stable employment. The last few decades have resulted in significant shifts in the composition of THS workers and occupations, reflecting compositional changes taking place in the overall economy. For example, the decline of manufacturing spurred a growth in THS demand for manufacturing occupations, which was further accelerated in the aftermath of the Great Recession. But in the last decade, THS manufacturing is in decline and we now observe an increase in higher-skilled occupations in THS related to computers and nursing. In this paper, we combine multiple data sources from the Census and BLS to document recent trends in temp work by occupation, region, and demographics. Next we analyze the impact of these trends on THS worker outcomes such as earnings and subsequent job spells. Finally, we discuss implications for the future of alternative work arrangements and the interaction with social safety net programs.

Authors

• Audrey Guo, Santa Clara University

• Emilie Jackson, Michigan State University

• Melanie Wallskog, Duke University