2024 Trends in the Staffing Services Industry

1. 2024 Trends in the Staffing Services Industry

2. According to the American Staffing Association (ASA), 2024 holds the potential for unprecedented growth in the Staffing Services industry. The ASA put together a list of the foremost staffing trends for this year, with the goal of assisting staffing leaders in staying ahead of the dynamic shifting landscape. Below are a few of the noteworthy trends. Staffing Firms Can Benefit from Generative AI As Generative AI continues to grow in 2024, staffing firms can reap its benefits with data-driven recruiting and talent acquisition. According to the ASA, AI can help speed up activities such as matching candidates to job orders by evaluating thousands of resumes, interpreting the data, and matching candidates with job orders from a particular company. Generative AI can also automate tasks, assist with skills assessment, and create personalized career plans for candidates and employees. ASA suggests that nearly every organization will be able to elevate and automate both the customer experience and internal operations, as Generative AI creates new opportunities for collaboration between humans and machines. Staffing firms with a data-driven mindset and proper technology can begin seeing the benefits sooner rather than later. Focusing on the Employee Experience The employee experience (EX), spanning from the initial job application to the end of the contract, is becoming more of a focus for Staffing Services firms. Factors such as company culture, physical environment, tools, resources, and building relationships with managers and colleagues are being considered more and more. According to the ASA, the EX is being redirected from the conventional notion of “work-life balance” towards an emphasis on “work-life integration,” which acknowledges the interplay between professional and personal lives. The idea is to achieve a personalized “work-life fit” tailored to individual needs rather than adhering to a standardized approach. For example, many Staffing firms are implementing Employee Resource Groups (ERGs), which, according to Gartner, are groups organized by common identities, interests, or backgrounds, the goal being to support employees and create a more personalized and inclusive workplace.

3. Future-Ready Workforce With the rapid change of fast-evolving technologies, many American workforces are unprepared for the future as adaptation efforts are limited. The ASA suggests that Staffing Services firms, employees, and the companies they support begin to prioritize lifelong learning to ensure that employees receive adequate upskilling or reskilling training. The staffing industry is pivotal in collaborating with clients to offer paid on-the-job training, online educational resources, and access to certificate programs, which are essential for future- proofing careers. Growing List of State and Federal Legislative and Regulatory Issues In 2024, the ASA is anticipating the introduction of enhanced enforcement measures concerning the accurate classification of employees and new pay and benefits mandates. Additionally, there may be heightened examination surrounding taxation on services and regulations that govern the use of AI in recruitment processes. It is said that these changes could instill uncertainty among businesses, causing them to hesitate in committing to long-term investments. However, proactive engagement by staffing firms with elected officials can significantly ensure that policymakers appreciate the industry’s pivotal role in supporting job creation and economic growth. By working directly in support of ASA, staffing firms can enhance the industry’s ability to grow and prosper in an environment free of costly and inflexible regulation. Ensure Long-Term Company Growth with StaffPRO3 and our Staffing Services Workers’ Compensation Solutions Staffing Services leaders who keep pace with these trends are expected be in a better position for long-term growth. At StaffPRO3, we support Staffing leaders by delivering Workers’ Compensation solutions that help them manage risk, free up cash flow, and help to put them in a better position for both short and long- term success. Contact us for more information. StaffPRO3 is the Staffing Services division of PMC Insurance Group, a subsidiary of One80 Intermediaries.