Staffing Services Industry Profile

Report Page Length: 10-12
Last Quarterly Update: 8/8/2016
SIC Codes: 7363
NAICS Codes: 5613
Chapters Include:
Industry Overview Trends & Challenges Industry Forecast
Quarterly Industry Update Call Prep Questions Website & Media Links
Business Challenges Financial Information Glossary & Acronyms
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Excerpt from Staffing Services Industry Profile

Companies in this industry provide contract, temporary, and permanent staff to clients with specific employment needs. Major companies include Allegis, Insperity, Kelly Services, and ManpowerGroup (all based in the US), along with Adecco (headquartered in Switzerland) and Randstad (the Netherlands).

Large staffing services markets include the EU, the US, Japan, and the UK. Companies in Brazil and Mexico also employ large numbers of people through staffing agencies. The industry is growing fastest in the Asia/Pacific region.

The US personnel staffing agencies industry includes about 32,000 companies with combined annual revenue of about $300 billion.


Employment growth drives demand for the personnel staffing industry. The profitability of individual companies depends on good marketing and availability of qualified employees. Large companies enjoy economies of scale in marketing and back-office operations. Small companies can compete successfully by specializing in an industry or a job function. The US industry is fragmented: the 50 largest companies generate more than 40% of industry revenue.


The US industry is divided into three major segments: temporary help services (about 50% of industry revenue), professional employer organizations (about 45%), and placement agencies (about 5%).

Temporary help services provide workers for customers for limited periods, often to substitute for absent permanent workers or to help during periods of peak demand. These workers, who are employees of the temporary help agency, will generally fill clerical, technical, or industrial positions. Professional employer organizations (PEOs), sometimes ...

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