As we are coming to the curtains on the year 2020, evaluation, analysis, and comments on how the year fared for the general world are being made. The fact that the Covid-19 pandemic halted the entire world for a well couple of months cannot be overstated in any way. And as the year draws to an end, it is safe to say that the Staffing industry too took a hit in this pandemic. The business owners working in the staffing and recruitment industry have also been impacted adversely by the pandemic.
Before we delve any further, we have to examine the current state of affairs in the United States’ staffing and recruitment due to the Coronavirus pandemic. The primary objective of the staffing industry comprises searching and hiring the workforce for other companies. The US staffing industry, which earlier possessed a $152 billion market size, has now come down to around $119 billion since the pandemic. This is the lowest market figure for the staffing and recruitment industry since 2013.
The government response to the pandemic halted the economy leading to significant downsizing across all the sectors in the US. The massive reduction in the market size of the staffing industry makes sense as there have been fewer hiring and employment prospects. In April itself, 60% of the American companies had cut down their job openings, and around 25% of companies completely shutting off all their openings. Glassdoor saw its lowest job posting since February 2017. Consequently, staffing agencies across the United States also had to face huge losses due to the economic repercussions of Covid-19.
The Covid-19 is still at large, but the economy has opened up. Businesses and companies have started adjusting to the new normal and finding ways to bounce back with caution and care. The staffing industry, too, will recover because at some point, every organization will need new staff, even if at a lower rate than before. It is significantly important for recruitment agencies to exercise precautions in their post-Covid hiring practices.