Staffing Stats

Breaking Down the Latest Staffing and Hiring Trends

Contract Staffing Employment
According to the American Staffing Association, the Staffing Index remains at a value of 88 however, staffing jobs did increase 4.6% year-to-year on average over the four weeks ending 5/24/2026. 

Where is the job growth?

According to Challenger, Gray, and Christmas, Automotive leads all industries with 12,258 new jobs, more than double the 4,874 announced through May 2025. Entertainment/Leisure is second with 8,796, though that figure is down sharply from a year ago. Aerospace/Defense (7,676) and Government (7,368) round out the top four.

What does this mean for your staffing agency?
While there is hiring momentum in select industries, the flat staffing index indicates that broad-based growth has not yet returned, making market focus and client diversification critical.  

Lay Off Data

May Job Cuts

According to a report released Thursday Jun 4^th from global outplacement and executive coaching firm Challenger, Gray & Christmas, U.S.-based employers announced 97,006 job cuts in May, up 16% from the 83,387 job cuts recorded in April, and up 3% from the 93,816 announced in the same month last year.

Which industry cut the most in April 2026?

Technology continues to lead the job cuts, announcing 38,242 job cuts in May.  For the year, Technology has announced 123,653 cuts. 

According to Andy Challenger, AI isn’t yet the jobpocalypse some predicted.  Like spreadsheets and email before it, the technology will ultimately make workers more productive, but data shows companies are already acting on it, citing AI for more cuts than any other reason.                                                                                                                                                                          

Click here for the full Challenger Report

What does this mean for your staffing agency?
Companies are shifting budgets toward AI investments at the expense of jobs.   The importance of upskilling and reskilling cannot be overstated.  Workers need to familiarize themselves with AI.  Additionally, many companies are now including goals for their employees on AI use.  They are redefining job descriptions based on what AI can do.   These are important discussions to have with both your clients and your candidates. 

Job Growth

According to the May ADP employment report key findings include:

• Job Growth: Added net +122,000 private sector jobs in May 2026. 
• Sector Highlights: Eight out of ten supersectors showed gains last month, and employers of all sizes were hiring.

ADP’s Chief Economist Dr. Nela Richardson states “Hiring was more broad-based in May than we’ve seen in the last few years.  The labor market continues to show sustained momentum going into the summer hiring season.”

What does this mean for your staffing agency?
Broader job growth and continued hiring momentum suggest that client demand may be strengthening heading into the summer season.  For staffing agencies, this is a signal to stay close to clients, identify where hiring needs are accelerating, and be prepared to move quickly as opportunities arise. 

Labor Data

Job opportunities in Manufacturing:  According to TED – The Economics Daily dated May, 2026, the top line number of manufacturing jobs may change little between 2024-2034 however certain manufacturing industries and occupations are projected to have job growth over the decade.  

Click here to view the full report, including all 4 tables.

What does this mean for your staffing agency? 
While overall manufacturing is expected to remain flat, growth opportunities exist within specific industries and occupations. Staffing agencies that understand these niche areas and proactively build talent pipelines for these in-demand roles will be better positioned to capitalize on future hiring needs.