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Staffing firms pay scales show 'slack' in the labor force

from Staffing Talk

While 2014 was the strongest year for hiring and job gains since the 2007-'09 recession, economists say the fact that there haven't been corresponding wage increases, including at America's largest staffing firms, shows there is still "slack" in the labor force. Rising demand for temporary employees at light assembly jobs and distribution centers helped drive a 7 percent gain in Kelly Services' fourth quarter U.S. revenues, up from 3.6 percent in the third quarter. But that increasing demand has not yet translated into substantial wage gains for workers, because "the supply of unskilled labor is still pretty plentiful,” according to Kelly’s Chief Operations Officer George Corona in a Fortune/Reuters report. more

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