Average Hourly Earnings
According to the Bureau of Labor Statistics’ (BLS) Sept 5th report, the average hourly earnings for all employees in the United States rose to $36.53 in August (growth of 3.6% year over year) as August 2024 average hourly earnings were at $35.23. While there has been consistent upward momentum over the past 12 months, the rate of growth has slowed.
As you meet with your clients and prospects, employee wages are always a topic of discussion. Below are a few questions to consider.
- “Have you experienced turnover due to employees leaving for higher pay elsewhere?”
- “If market wages continue to rise, do we have room to adjust bill rates so you remain competitive in hiring?”
- “How are you planning for wage inflation in your workforce budget this year?”
Contract Staffing Employment
According to the American Staffing Association contract staffing employment jobs for the four weeks ending 8/31/2025, decreased 1.1% year over year and the staffing index is currently at 89. For reference, in June of 2006 ASA established an index baseline of 100.
During ASA’s September 8th Economic and Staffing Forecast, their Chief Economist Noah Yosif said he anticipates a continued decline in staffing employment; 2.5% in Q3 with an additional .9% decrease in Q4 before staffing revenue starts to rebound in Q1 2026. This is driven primarily by continued weakness in Light Industrial staffing (Manufacturing, Warehousing, Transportation) as LI accounts for 40% of total staffing employment.

Temporary Help Penetration Rate
Historically, the temp help penetration rate has been around 2% of total employment; however, in October 2022, it dropped below 2% and, for nearly three years, has continued to decline. In February 2025, according to the Bureau of Labor Statistics, it dropped to 1.59% and now in August of 2025, it has hit a new low of 1.57%

GDP Projection
Click here for Conference Board’s full GDP report and their US economic outlook, but 2025 has been a mixed bag. Full year 2025 real GDP is expected to grow 1.6%, down significantly from previous years.
Strong GDP growth means clients are more likely to launch new projects, expand operations, and increase headcount. In a weaker GDP environment, companies may prioritize cost control, shift to just-in-time hiring, or favor temp-to-hire and project-based work, all of which can benefit flexible staffing models.
Job Openings
According to BLS the number of job openings is now at 7.2 million, the lowest in 10 months.
Categories of jobs with highest gains in job openings
- Information Technology 6.4%
- Business and Professional Services 5.5%
- Leisure and Hospitality 5.5%
See the full chart here.
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