GVR Report cover Temporary Labor Market Size, Share & Trends Report

Temporary Labor Market Size, Share & Trends Analysis Report By End Use (Healthcare, Manufacturing), By Labor Type (Skilled, Unskilled, Clerical, Management, Professional), And Segment Forecasts, 2019 - 2025

  • Report ID: GVR-3-68038-021-7
  • Number of Report Pages: 166
  • Format: PDF, Horizon Databook
  • Historical Range: 2014 - 2017
  • Forecast Period: 2019 - 2025 
  • Industry: Technology

Report Overview

The global temporary labor market size was valued at USD 436.42 billion in 2018. It is anticipated to register a CAGR of 6.4% from 2019 to 2025. The market has been growing significantly, as incumbents of various industries, including construction, healthcare, logistics, information technology (IT), and telecommunications, have been deploying temporary workers on various expansion projects. The demand for temporary labor is estimated to increase over the coming years owing to rising number of smart city projects being launched by various governments, thereby driving the market over the forecast period.

U.S. temporary labor market

Organizations opting for temporary labor services can experience several benefits, such as reduction in cost of hiring and savings on employee benefits costs and training costs. Moreover, organizations can opt for deploying these workers on non-core tasks and directing their resources towards core tasks. Such benefits are expected to prompt organizations to procure short-term labor services.

Enterprises often have to face shortage of manpower, particularly during peak periods or other exigencies. Organizations tend to opt for temporary labor services during such situations. Moreover, as the technology continues to evolve, the demand for workers with specific skills in design engineering, digital marketing, and software application, among others, is equally rising. Temporary workers can help organizations in bridging this gap.

Temporary workers can be deployed for various purposes. Companies often find it comfortable to employ these workers to maintain older infrastructure. Similarly, in retail stores, where footfall particularly tends to increase during public holidays and festive seasons, short-term workers are employed in order to ensure customer satisfaction. Temporary workers are also employed to cater to surging demand for on-demand delivery services associated with online shopping.

However, hiring temporary workers often tends to instill a sense of insecurity among permanent employees, demoralizes them, and affects their productivity, which is not conducive for the growth of an organization. Moreover, customer satisfaction is often on stake with these workers deployed for customer services, especially in cases wherein customers are comfortable dealing with specific sales personnel or agents. These factors are, therefore, likely to limit the growth of the market.

Labor Type Insights

On the basis of labor type, the market has been segmented into unskilled, clerical, management, skilled, and professional. The clerical segment dominated the market with a share of approximately 60.0% in 2018. Incumbents of various industries, including manufacturing, insurance, real estate, and retail, prefer hiring experienced clerical workers on a temporary basis for short assignments and for various positions. The positions primarily include receptionists, typists, general office clerks, secretaries, and computer operators.

On the other hand, both manufacturing and service providing companies are appointing managers on a temporary basis to analyze and organize company’s current operations in order to improve efficiency and productivity. This is poised to spur the growth of the management segment. To align company’s products and services with customers’ changing demands, manufacturing companies are hiring skilled workforce on a temporary basis. These trends are projected to benefit the growth of the labor segment over the forecast period.

End-use Insights

The manufacturing industry prefers hiring temporary workers to cater to fluctuating demand during peak periods and festive seasons. Incumbents of the manufacturing industry include manufacturers of apparel, chemicals, electrical equipment, fabricated metals, and furniture. The manufacturing segment is anticipated to lead the temporary labor market throughout the forecast period as these manufacturers procure such services to ensure an uninterrupted production process.

Europe temporary labor market

Widening base of geriatric population and increasing prevalence of various diseases are fueling the demand for trained nurses, who can work on a temporary basis to provide quality in-house medical care. Demand for temporary medical staff is also rising in line with surging demand for in-house medical consultation and increasing number of diagnostic centers. The healthcare segment is estimated to exhibit a significant CAGR over the forecast period.

Regional Insights

Europe dominated the global market in 2018 with a value of USD 149.61 billion. Surging demand for temporary workforce in the manufacturing of automobiles has been bolstering the growth of the market in the region. It will continue to grow as the number of small and medium enterprises (SMEs) in the region continues to increase and these SMEs prefer hiring temporary workers in order to reduce their hiring costs.

Asia Pacific is expected to witness significant growth over the forecast period. Governments in the region are continuously launching various national healthcare programs, which will stimulate the demand for temporary healthcare workers, thereby fostering the growth of the market. For instance, the Government of India has launched several healthcare schemes, such as Pradhan Mantri Swasthya Suraksha Yojana (PMSSY), National Vector Borne Disease Control Programme (NVBDCP), and National Aids Control Programme.

Moreover, the popularity of food delivery platforms, such as Foodpanda, Swiggy, Zomato Media Pvt. Ltd., among others, is growing continuously in the region. Operators of such platforms are hiring temporary workers to ensure a timely delivery of ordered food items.

Key Companies & Market Share Insights

The key players in the market include Adecco, Allegis Group, Kelly Services, Inc.; ManpowerGroup Inc.; Randstad N.V., Hays plc, Robert Half International Inc.; Express Services, Inc.; Westaff; and Persol Holdings Co. Ltd. The companies are focusing on launching new products and services as part of their efforts to gain a competitive edge in the market. For instance, in March 2018, ManpowerGroup Inc. introduced a platform called IntelliReach for Managed Service Provider (MSP) TAPFIN. The platform helps in digitizing management tools and include supplier scorecards and data warehousing, which helps organizations to make better workforce decisions.

Incumbents of the market are striking strategic collaborations and undergoing mergers & acquisitions to expand their businesses and strengthening market position worldwide. For instance, in September 2017, Adecco acquired BioBridges, LLC, a life science profession staffing company, to expand its professional staffing services and offerings for the biotechnology, pharmaceuticals, and medical devices industries.

Temporary Labor Market Report Scope

Report Attribute


Market size value in 2020

USD 491.52 billion

Revenue forecast in 2025

USD 673.43 billion

Growth Rate

CAGR of 6.4% from 2019 to 2025

Base year for estimation


Historical data

2014 - 2017

Forecast period

2019 - 2025

Quantitative units

Revenue in USD billion and CAGR from 2019 to 2025

Report coverage

Revenue forecast, company ranking, competitive landscape, growth factors, and trends

Segments covered

Type, deployment, enterprise size, end use, and region.

Regional scope

North America; Europe; Asia Pacific; South America; Middle East & Africa

Country scope

U.S.; Canada; UK; Germany; India; Japan; China; Brazil; Mexico

Key companies profiled

Adecco, Allegis Group, Kelly Services, Inc.; ManpowerGroup Inc.; Randstad N.V., Hays plc, Robert Half International Inc.; Express Services, Inc.; Westaff; and Persol Holdings Co. Ltd.

Customization scope

Free report customization (equivalent up to 8 analysts’ working days) with purchase. Addition or alteration to country, regional & segment scope.

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Segments Covered in the Report

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the industry trends in each of the sub-segments from 2014 to 2025. For the purpose of this study, Grand View Research has segmented the global temporary labor market report on the basis of labor type, end use, and region:

  • Type Outlook (Revenue, USD Billion, 2014 - 2025)

    • Unskilled

    • Clerical

    • Management

    • Skilled

    • Professional

  • End Use Outlook (Revenue, USD Billion, 2014 - 2025)

    • Healthcare

    • Manufacturing

    • BFSI

    • FMCG and retail

    • IT

    • Construction

    • Logistics and Telecom

    • Others

  • Regional Outlook (Revenue, USD Billion, 2014 - 2025)

    • North America

      • U.S.

      • Canada

    • Europe

      • U.K.

      • Germany

    • Asia Pacific

      • China

      • India

      • Japan

    • Latin America

      • Brazil

    • Middle East & Africa (MEA)

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