The week of May 8, 2026

Weekly Economic & Business Outlook

Latest Economic Outlook
  • Temporary help employment historically leads labor market trends, but recently declined despite continued overall job growth.
  • This indicator is still valid as temporary help services employment rises after recessions and falls before downturns.
  • Recent temporary job declines suggest slowing momentum, with weak payroll growth likely continuing unless temporary employment begins increasing again.
Latest Staffing Research
  • For the full year of 2025, ASA data show that total industry revenue and payroll continued to decline.
  • Recent data has signaled a turnaround as real sales grew 1.9% and real payroll grew 3.4% in 4Q2025.
  • While the industry continues to bounce back from a very difficult year, staffing firms should take note that further recovery is likely to be modest.

The ASA Weekly Economic Business Outlook is for members of the American Staffing Association.

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This Week’s Economic Outlook
  • Average hourly earnings have struggled to keep pace with inflation.
  • Compensation will continue to outpace inflation given declining inflation, moderating labor market dynamics, and lower interest rates.
  • Staffing firms can keep offers competitive by accounting for inflation dynamics.
This Week’s Staffing Research
  • Elevated inflation and interest rates have increased compensation demands by workers.
  • A recent ASA Workforce Monitor® found many U.S. workers are still concerned about their finances.
  • Pessimism among workers regarding their finances has reduced labor churn.

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