Signs of Life – Manufacturing Activity and Temp Staffing Placements Increase for Spring 2017

It’s good news for the temp staffing industry and also for the manufacturing arena which we largely serve, as news from the Institute for Supply Management (ISM) and Staffing Industry Analysts (SIA) both point to an increase in activity and revenue in these key industries tied to our business.

First up, ISM reports that “new orders, production and employment” is growing for manufacturers in America as indicated from statistics released for the month of April 2017.

According to their report, “Economic activity in the manufacturing sector expanded in April, and the overall economy grew for the 95th consecutive month, say the nation’s supply executives in the latest Manufacturing ISM® Report On Business®…. Of the 18 manufacturing industries, 16 reported growth in April in the following order: Electrical Equipment, Appliances & Components; Textile Mills; Nonmetallic Mineral Products; Furniture & Related Products; Plastics & Rubber Products; Fabricated Metal Products; Printing & Related Support Activities; Machinery; Paper Products; Chemical Products; Food, Beverage & Tobacco Products; Primary Metals; Miscellaneous Manufacturing; Computer & Electronic Products; Petroleum & Coal Products; and Transportation Equipment. The only industry that reported contraction in April compared to March is Apparel, Leather & Allied Products.”

This is certainly heartening and encouraging for a commerce sector in the USA that has seen better days in its past.

Next, SIA reports that “US temporary staffing revenue rose a median 6% year over year in March 2017 among staffing firms taking part in Staffing Industry Analysts’ monthly Pulse Survey.”

According to SIA, “‘Staffing firms reported growth year-over-year in most skill segments, with double-digit expansion in the healthcare segments in March,’ said Research Analyst Sree Thiyagarajan. ‘A net 48% of staffing firms reported an increasing trend in new orders, the highest level reached by this metric since October 2015.’ The net proportion of firms reporting an increasing trend in new orders rose to 48% in March from 39% reported for February; this is the highest level reported since the metric reached 53% in October 2015.”

Please read the full Institute for Supply Management statement here. You can read the entire Staffing Industry Analysts article here as well.

With manufacturing entities seeing more business demand and temporary employment rising as an option to meet that increase in business, it’s shaping up to be a healthy Spring 2017 for Flex-Team and our ilk as well as for the many clients we cater to on a regular basis. Let’s keep improving for the rest of the year as well.

YOU can learn more about Flex-Team by visiting our About Us page.

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