10 September, 2019
RALEIGH, North Carolina, Sep 10, 2019 - The global market for temporary labor is currently valued at $463.1 billion, according to Beroe Inc., a procurement intelligence firm. Some of the leading growth drivers of the temporary labor market are the high demand for SOW (statement of work) and IT professionals, and growth in the gig economy.
The need for a flexible workforce drives the market for temporary labor, especially in the APAC region. Gig economy is a rising trend in APAC, especially in Singapore and Malaysia, where the growth of online platforms supports the concept. The strategic value additions that temporary labor can bring into the overall workforce have been recognized. Therefore, it is increasingly being adopted in regions such as North America and Western Europe.
Beroe, which is based in North Carolina, further stated that procurement experts can access this report on its recently launched market intelligence platform Beroe LiVE: live.beroeinc.com
The need for temporary IT professionals is growing globally, which in turn drives the growth of professional temporary staffing. The demand for temporary labor is increasing in the transportation and logistics industry due to the growth in warehousing, trucking, and other manufacturing sectors, which further acts as a growth driver for the industry. The emergence of Human Cloud and VMS (vendor management system) has also had a positive effect on the industry as it makes the process better controlled and manageable.
In developed markets, the trend adopted by organizations is to ensure that temporary labor is utilized to the farthest extent possible as it is cost-efficient and flexible. The alternate to temporary labor is permanent staffing, which would be a less-preferred option for buyers. In emerging markets, there’s an increasing acceptance of temporary jobs due to a gradual decrease in the difference between the remuneration for temporary and permanent employees.
The research methodology adopted for the report included:
Growth in robotics and artificial intelligence could result in automation of jobs, where a majority of blue-collar temporary workers are employed. Therefore, the onset of such technologies could result in temporary labor being replaced with the cost savings and efficiencies factors, which comes with technology. Moreover, hiring an extensive talent pool of temporary laborers results in the expenditure of basic essentials such as workstations, computers, etc., which could lead to an increase in cost-per-hire.
The report also includes:
Beroe is the world's leading provider of procurement intelligence and supplier compliance solutions. We provide critical market information and analysis that enables companies to make smart sourcing decisions—leading to lower costs, greater profits and reduced risk. Beroe has been providing these services for more than 13 years and currently works with more than 10,000 companies worldwide, including 400 of the Fortune 500 companies.
To learn more about Beroe Inc., please visit: http://www.beroeinc.com
Join us on Feb 1; Rethinking Procurement Operating Model to Drive Stakeholder Success