The industry had been enjoying an outsourcing trend and strong demand for labour from the mining sector.
Melbourne, Australia (PRWEB) May 09, 2012
Employment outsourcing has become well established in Australia over the past two decades. In the years prior to mid-2008, the Temporary Staff Services industry had been enjoying an outsourcing trend, a strong economy with low unemployment, and a strong appetite for labour from the mining sector amid booming commodities prices. Then the global financial crisis hit, resulting in rising unemployment and weaker demand for new temporary labour positions in 2009. However, IBISWorld industry analyst Alen Allday says, “the Australian economy weathered the global downturn relatively well as growth within the housing sector stabilised and mining output continued to increase strongly”.
In the five years through 2011-12, Temporary Staff Services industry revenue is estimated to increase an annualised 0.7% to $15.8 billion. This includes an estimated 1.6% growth in 2011-12, and declines in some other years. Allday adds, “the low revenue growth of the past five years was accompanied by flat employment growth and low increases in enterprise numbers, illustrating the industry's mature life cycle stage”. The Temporary Staff Services industry has a low concentration level. The wider industry is characterised by a large number of small firms. A lesser number of medium-size companies exist, which tend to specialise or operate in a particular geographic region. Industry concentration has increased in recent years, however, due to strong organic growth and acquisitions. Major companies include Skilled Group, Chandler Macleod Group, Manpower Services and Adecco Holdings.
Temporary Staff Services industry revenue is expected to grow only modestly over the next five years, reflecting the mature nature of the industry. The mining and energy sectors, despite remaining strong and a key growth driver, are not expected to record rapid growth beyond 2012-13, as weak global growth hinders commodity demand and as the carbon tax contributes to lower employment levels.
For more information, visit IBISWorld’s Temporary Staff Services report in Australia industry page.
Follow IBISWorld on Twitter: http://twitter.com/#!/ibisworldau
IBISWorld industry Report Key Topics
Operators in the industry provide temporary staffing solutions to client companies. Temporary staff can be provided in two ways: via the recruitment of temporary staff who are employed by the client organisation on a temporary basis; and via the leasing of staff to clients, where the employee is under the control of the client for operational purposes but remains legally employed, and is paid, by the provider.
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Globalisation & Trade
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
About IBISWorld Inc.
Recognised as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every Australian industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Melbourne, IBISWorld serves a range of business, professional service and government organisations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com.au or call (03) 9655 3886.