This Week's Herman Trend Alert

The Consequences of Virtual Meetings
 

  The Herman Trend Alert

April 27, 2005

Hiring of Temporary Employees to Increase

Several factors are converging to stimulate an increase in the use of temporary employees in a wide range of occupations. This global movement will be felt across all occupational sectors, across industry lines, and across national borders.

Over the past few years, a weak economy has forced employers to operate with the absolute minimum number of employees necessary to run their businesses. Executives---and stockholders---have been delighted with the productivity increases. However, the costs may outweigh the benefits. Productivity achievements have been accomplished by people who remained with employers after layoffs and downsizings. They pushed hard---using technology, but also time, human energy, and intellectual capacity.

Result: While productivity numbers are up, workers are burned- out. They’re tired and feeling out-of-balance. Stress levels are high. Dedicated workers feel trapped in their jobs. In many organizations, bosses don’t seem to appreciate workers like they did in the late 1990s when the economy was hot. Feeling taken for granted, these workers are ready to leave, to escape to another employer where they will be appreciated. Recent surveys suggest that as many as 85 percent of today’s workers are dissatisfied enough to move to different jobs in the next 12 months.

As they leave, these employees will have to be replaced--- quickly. With employment at minimum levels, a back-up supply of replacement workers simply is not available; staffing redundancy just does not exist. Solution: Employers will depend on temporary staffing firms to provide workers they need while they search for the people they want to hire. In many cases, temporary workers who perform well will be hired, giving new energy to the temporary-to-permanent placement process.

Employers in many fields will experience increases in business, generating a need to hire more people. Hesitant to make long-term employment commitments in an uncertain economy, they will hire temporary workers to provide flexibility until new economic conditions are more firm.

Temporary employment growth may not be evident in unemployment rates. The employment growth during this transition period, using temporary workers instead of permanent hires, will mislead some to believe mistakenly that we are experiencing a jobless recovery.


© Copyright 1998- by The Herman Group, Inc. -- reproduction for publication is encouraged, with the following attribution: From "The Herman Trend Alert," by Roger Herman and Joyce Gioia, Strategic Business Futurists. (800) 227-3566 or http://www.hermangroup.com. The Herman Trend Alert is a trademark of The Herman Group, Inc."


BACK BY POPULAR DEMAND: RETENTION SPECIALIST PROGRAM
A growing number of people have expressed an interest in attending our Employee Retention Specialist Certificate Program. We'd like to schedule on that's convenient for those who want to attend, but need your feedback to do so. Please place RETENTION SPECIALIST in the subject line and Joyce will personally call you back to schedule the workshop. Or you can call Joyce directly at 336-210-3548 (PDT this and next week).

BUSINESS IS PICKING UP
Most employers are unprepared. The recovery will bring a new set of challenges for employers that have been in prolonged contracted mode. They will need more skilled workers or will need now to begin to upskill their current staffs. But organizations can not engage in Strategic Workforce Planning, when they don't know how. That's where The Herman Group can help. We can help you with your "People Review"----large or small---so that you will know who you will need and when you will need them. . . and we can also guide you to the best sources for the people you will need. For more information, call Joyce at 336-210-3548 or e-mail joyce@hermangroup.com.

FIND OUT WHAT YOUR EMPLOYEES REALLY THINK AND FEEL
Discover what’s really going on in the hearts and minds of your employees. Our InnerViews interviewing service uses SPHRs and PHRs, certified human resource professionals to probe for the information you really need to know. Exit and Stay Interviews, as well as Why-Didn't-You-Take-Our-Offer Interviews. Call Rosalie Catalano at 937-416-7066, or read more at: http://www.hermangroup.com/retentionconnection/exit_interviews.html.


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