Word: temps
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...powerful U.S. economy owes its strength to the armies of temporary employees that make up a larger and larger percentage of the work force. But this time conventional wisdom is wrong, according to economist Max Lyons of the Employment Policy Foundation, a Washington-based research and education group. Temps make up only between 1% and 2% of the total employed, Lyons argues in a recent study, and most of them do not temp for long; 75% of those who work temporarily do so for no more than a year. Lyons reveals, too, that long assignments are rare: only...
...course, it's possible that eLance could drive wages down by cutting out intermediaries like temp and staffing agencies. But startups pressed for time and cash might welcome a virtual hiring hall of humans. eLance farmed out work on its site to a programmer in Bombay who named the right price online. Says Sheth, "In the real world, you can't hire 500 people over the weekend...
...Schwarz, co-founder of Mayday Interactive, an ad shop based in Santa Monica, Calif., is already sold on Monster's talent market. To get her firm off the ground, she beat out a few rival bidders for a personal assistant and a web designer. "It's not like a temp firm, which may not know my needs," says Schwarz. "It's matchmaking for business...
...used to spot a temp a mile away. He would show up at the office for a day, asking too many questions, trying to remember the firm's name when answering the phone, unable to find the coffeepot or get the copier to work...
...report, The New Nomads. Besides saving money on benefits, firms prize the flexibility of keeping only a small core of full-timers and ramping up for specific projects. Silicon Valley, with the ebb and flow of its product cycles, relies heavily on permatemps; a new report shows the temp industry has been California's leading job creator for the past five years. No wonder the Information Technology Association of America says the Microsoft ruling would "serve to undermine the information economy...