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Temp Labour is on the Rise in 2022, but is it here to stay?

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Temp Labour is on the Rise in 2022, but is it here to stay?

Employers' confidence has been knocked with the current market, unsure if and when they should be making their next hire. More and more business owners are leaning towards temp workers, giving them the flexibility to choose when and how long they wish to hire someone for. But, for most employees who need stability in their employment, is temporary work an option?

Temp work has its perks for both parties as many people have been impacted by the pandemic, it’s forced many talented individuals back on the market. These individuals have the opportunity to work within an organisation before making the full commitment of joining a new team, especially useful in a competitive market. 

In our recent study we identified that the average temp labour has increased by 11% since February 2021, with more growth expected for 2022. Although the economy is expected to bounce back mid 2022 (Brewin Dolphin UK) securing temp workers once again with permanent employment. Could this identify an end date for the popularity of temp recruitment or have we just carved a new way to hire?

Despite the UK employment rate sitting at 75.5% (January 2022) according to Office for National Statistics, that is 1.1 percentage points lower than pre-pandemic (December 2019 to February 2020), showing a steady but clear increase in employment within the UK. There’s no compelling evidence to suggest that temporary employment has anything to do with this small increase but we feel it has a big part to play. 

Currently, December to February 2022 there are 1.5m temporary workers in the UK (Lancaster University Studies). Showing the need for this style of employment and the flexibility it comes with. Although this most likely means that we are still short for permanent roles, it does mean more and more people are being pushed into the benefits of temporary employment which many would have initially ruled out pre-pandemic. This has resulted in temporary work increasing by 23% over the past year (Lancaster University Studies).

The breakdown in our recent study, found that there was a greater number of employers who had previously been temps and used temp in their own hiring needs. With 4% less employers, who had never been a temp worker before. Showing that having experienced temp work personally, gives a better understanding as to its benefits. There are more employers now leaning towards temporary workers to see them through the UK economy crash, potentially until its estimated recovery. 

So far, the data to show the impact of this change in employment is limited. However, the decrease in unemployment is improving as well as the increase in employers now looking to temporary workers. Many people may have the vision that some work is better than no work since the government furlough schemes have all now come to an end, many have found themselves in this position. 

The soon approaching Employment Bill gives temporary workers more rights with employers after a 26 week period, they will be able to request a contract in line with the 2018 Good work plan, according to the Gazette. With the right to request a more predictable and stable contract after 26 weeks’ service, for those with variable and unpredictable hours (which formed part of the government’s 2018 Good Work Plan).

The forthcoming Employment Bill offers an opportunity to strengthen worker rights and protections in this regard, for example by ensuring the legislation allows agency workers and those on temporary or zero hour contracts the right to request a contract which guarantees hours that better reflect those actually worked.

Therefore, answering our earlier question. Temp workers may eventually turn to permanent workers but, until that point both employers and employees will be in the perfect position to establish if this is the right next step for them. 

Proving that temporary employment is on the rise, and for good reason, and that it is here to stay as there will always be a need for flexible employment especially with the added reward of a potential stable contract. 

If you would like to see what temporary roles we have available, please visit our available jobs here or should you have temporary roles you wish to fill please give Jamie Wilson a call directly on 023 9281 6920.