• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia

Trendingnow

1

The millennial generation is split in 2: an older crowd with boomer-style comfort, a younger set going 'back to the early 1900s'

2

Trump pulls back after Iran crosses his red line as U.S. military breaks two-week streak of airstrikes amid talks for potential Hormuz deal

3

'The demographic dividend of the last 40 years is ending': J.P. Morgan says the world is running out of the two things that kept interest rates down

1

The millennial generation is split in 2: an older crowd with boomer-style comfort, a younger set going 'back to the early 1900s'

2

Trump pulls back after Iran crosses his red line as U.S. military breaks two-week streak of airstrikes amid talks for potential Hormuz deal

3

'The demographic dividend of the last 40 years is ending': J.P. Morgan says the world is running out of the two things that kept interest rates down

Temp hiring: A (small) glimmer of hope

By
Stephen Gandel
Stephen Gandel
Down Arrow Button Icon
By
Stephen Gandel
Stephen Gandel
Down Arrow Button Icon
July 6, 2012, 4:44 PM ET
Add Fortune on Google for similar content.

Fortune — Things may not be as bad as they appear, at least temporarily.

There was a silver lining in June’s overall weak unemployment report. Temp hiring was up. Companies added 25,200 non-permanent workers to their payrolls. That was up from 18,600 the month before.

This may be a good sign. Traditionally, temporary hires have been a leading indicator for overall job growth. Companies use temp hiring as a way to dip their toes in the water. And temp jobs often eventually turn into permanent ones. So the strength in temp hiring could be a sign that the recent drop in overall employment growth, might be more, well, temporary than a year ago.

MORE: Why American workers are worse off today

Like last year, hiring has fallen going into the summer. But unlike last year, temp hiring has not followed a similar path. Last June, companies cut the number of temp workers by nearly 8,000. This year, on the other hand, temp hiring has held up, adding 137,000 jobs in the first six months of the year, compared to just 59,000 in the first half of 2011.

The question is whether the traditional relationship between temp jobs and overall employment has broken down. Some worry corporate hiring patterns are changing, pushing a shift toward more permanent, temp positions. The severe recession coupled with uncertainty over Europe and policy changes like taxes and health care may be causing companies to stick with temp workers longer than usual. And perhaps, the longer companies do that, they could realize temp workers are all they need.

MORE: Is there an upside to the dip in corporate profits?

Indeed, temporary hiring was very strong at the beginning of the recovery in early 2010, and that doesn’t seem to have translated into strong jobs growth overall.  “Anyone you know with kids in their 20s they will tell you that’s how big companies hire these days,” says Steve Blitz, chief economist at ITG Research.

And while temp workers remain a small percentage of the overall workforce, just 2.2%, it’s up from an average of 1.9% since 1990, which is as far back as the Bureau of Labor Statistics tracks them. What’s more, the percentage of jobs gains that are coming from temporary hires is up. In the more than two years since the jobs market turned up in March 2010, there have been 14 months in which temp jobs have accounted for at least 15% of the overall employment gains. In June, it was 30%. That happened just seven times in the last recovery. And that may be another sign that the job market may never be as strong as it once was.

So, while more temp jobs may be a silver lining for now, it could be another sign that our economic skies may remain cloudy for much longer than we ever thought.

About the Author
By Stephen Gandel
See full bioRight Arrow Button Icon
Add Fortune on Google for similar content.

Latest in

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • World's Most Admired Companies
  • See All Rankings
  • Lists Calendar
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • TikTok icon
  • YouTube icon

Latest in

France deploys giant military cargo plane to dump tons of flame retardants as European wildfires displace more than 250,000
Environmentwildfires
France deploys giant military cargo plane to dump tons of flame retardants as European wildfires displace more than 250,000
By Mark Carlson, Emma Da Silva, John Leicester and The Associated PressJuly 25, 2026
5 hours ago
Intern arrested in Belgium on suspicion of spying inside NATO military headquarters and ‘being a member of a criminal organization’
CybersecurityNATO
Intern arrested in Belgium on suspicion of spying inside NATO military headquarters and ‘being a member of a criminal organization’
By Sam McNeil and The Associated PressJuly 25, 2026
5 hours ago
Let’s get ready to rumble: The next Fed meeting will be a ‘family feud’ — and that’s exactly what Chairman Kevin Warsh wants
EconomyFederal Reserve
Let’s get ready to rumble: The next Fed meeting will be a ‘family feud’ — and that’s exactly what Chairman Kevin Warsh wants
By Jason MaJuly 25, 2026
6 hours ago
The ‘Trump Trade’ is turning into a loser in the stock market
InvestingStock
The ‘Trump Trade’ is turning into a loser in the stock market
By Geoffrey Morgan, Joel Leon and BloombergJuly 25, 2026
8 hours ago
Samsung wins $200 billion order to supply chips to Broadcom
AIChips
Samsung wins $200 billion order to supply chips to Broadcom
By Hooyeon Kim and BloombergJuly 25, 2026
8 hours ago
SK chair says Anthropic asked for supplies to make its own chips
AIChips
SK chair says Anthropic asked for supplies to make its own chips
By Ian King and BloombergJuly 25, 2026
8 hours ago

Most Popular

The millennial generation is split in 2: an older crowd with boomer-style comfort, a younger set going 'back to the early 1900s'
Real Estate
The millennial generation is split in 2: an older crowd with boomer-style comfort, a younger set going 'back to the early 1900s'
By Nick LichtenbergJuly 25, 2026
17 hours ago
Trump pulls back after Iran crosses his red line as U.S. military breaks two-week streak of airstrikes amid talks for potential Hormuz deal
Middle East
Trump pulls back after Iran crosses his red line as U.S. military breaks two-week streak of airstrikes amid talks for potential Hormuz deal
By Jason MaJuly 25, 2026
9 hours ago
'The demographic dividend of the last 40 years is ending': J.P. Morgan says the world is running out of the two things that kept interest rates down
Economy
'The demographic dividend of the last 40 years is ending': J.P. Morgan says the world is running out of the two things that kept interest rates down
By Eleanor PringleJuly 24, 2026
2 days ago
Jensen Huang made his $172 billion fortune on AI chips. His family's $75 million gift to Vanderbilt argues art decides what technology is for
Big Tech
Jensen Huang made his $172 billion fortune on AI chips. His family's $75 million gift to Vanderbilt argues art decides what technology is for
By Sydney LakeJuly 23, 2026
3 days ago
An 11-year-old is cleaning his neighbors' trash cans for $10 each—he now has 100K followers as teens face the worst summer job market since 1948
Success
An 11-year-old is cleaning his neighbors' trash cans for $10 each—he now has 100K followers as teens face the worst summer job market since 1948
By Orianna Rosa RoyleJuly 25, 2026
19 hours ago
A Hims cofounder fired his entire marketing team for AI. Now his 24/7 online vet service is growing 20% a month
Success
A Hims cofounder fired his entire marketing team for AI. Now his 24/7 online vet service is growing 20% a month
By Sydney LakeJuly 25, 2026
15 hours ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.