Permanent to temp

Temporary workers are always the first to be affected in a down economy.

“Employers don’t want to lay off permanent employees, so they (temporary employees) get hit first,” says Sue Ann Costa, ERC consultant.

But according to Costa, “We have seen a slight increase in temp worker requests in May and June, and more manufacturing companies are bringing back (workers) on a temporary basis.”

Employment rates have always been considered a lagging economic indicator, but the increase in temporary hiring could indicate the beginning of a slow business recovery.

According to the SBN/ERC Workplace Practices survey, 3.6 percent of the work force of local companies is made up of temporary employees, up .2 percent from last year. The survey also tracked the use of contingent workers, which includes part time, job sharing, telecommuting and seasonal employees. The average percentage of the work force classified as contingent workers at local businesses is down from 7.8 percent in 2001 to 6.8 percent in 2002.

Recent employment numbers also illustrate a change in the way nonfull-time staff is being used. Part of the reason for an increased number of temporary workers and a decrease in the number of contingent workers may have to do with overall hiring trends.

“We are seeing organizations definitely getting more creative,” says Costa, and becoming more flexible with what they hire temps to do and when they have to do it.

More and more, Costa is seeing professions that were once always permanent salaried positions change into something else.

“There are people out there that like to be independent, especially on a professional level. They like to move from assignment to assignment.” How to reach: Employers Resource Council, (216) 696-3636 or www.ercnet.org