You are here

Number of US temporary jobs reaches all-time high in May

Thursday, July 2, 2015 - 07:00

jobs020715.JPG
Temporary jobs increased to 2.9 million, accounting for 2.4 per cent of all private-sector jobs in the country, according to a Commerce Department report released Wednesday.

[WASHINGTON] The number of jobs in the US temporary help services industry reached an all-time high in May, signaling a recovering labor market and potential future boost in employment.

Temporary jobs increased to 2.9 million, accounting for 2.4 per cent of all private-sector jobs in the country, according to a Commerce Department report released Wednesday.

Because of their flexibility, temporary jobs are considered a leading indicator for employment, the report said, with data showing these jobs consistently see losses and gains pre- and post-recession that are later mirrored in total nonfarm employment numbers. "When the downturn is over and demand for goods and services returns, hiring temporary workers is a good solution to quickly fill labour needs," the report said. "Firms might be reluctant to bring on permanent employees until the recovery is well-established or it might take time for firms to find the right match in a prospective employee." The jobs are generally paid less and given fewer benefits than their full-time counterparts, the report said. It described the positions as more often filled by younger people, women and African-Americans, usually without professional degrees, who are working unpredictable hours and given little job security.

The report came out ahead of the government's more comprehensive employment report on Thursday.

sentifi.com

Market voices on:

According to a Reuters survey of economists, nonfarm payrolls likely increased 230,000 jobs in June after a robust 280,000 gain in May. The unemployment rate was forecast dipping one-tenth of a percentage point back to a seven-year low of 5.4 per cent.

REUTERS

Powered by GET.comGetCom