ECONOMIC REPORT

The agency work industry

around the world
2012 Edition
(based on figures available for 2010)

The agency work industry

around the world

ECONOMIC REPORT
2012 Edition
(based on figures available for 2010)

Introduction
In 2010, the global agency work
industry recovered much of the ground
lost during the economic downturn
that started in the USA in 2007, and
quickly spread to the rest of the world.
The return to growth was witnessed
in many countries, however some
reported stronger growth than others.
The trends in this report go some way
to showing that the openness and
the socio-economic fabric of national
economies and the flexibility of
their labour markets account for the
difference across countries.
Overall, the total number of agency
workers worldwide was 10.4 million1.
In parallel, global total annual sales
revenues of the agency work industry
1. based on data from 43 countries
2. based on data from 36 countries

amounted to 247 billion2. The

negative impact of the economic crisis
on the labour market in general, and
the agency work sector in particular,
began in spring 2008 and accelerated
in 2009. This report shows the recovery
that the industry made in 2010, but
also the continuing trends seen in some
countries throughout 2011.
Most markets began to show positive
growth in the first quarter of 2010. This
trend continued throughout most of
2011, however as the year progressed,
the rate of growth witnessed in Europe
slowed markedly.
Agency work plays - and still has the
potential to play further - a valuable

role in easing transitions within and to

the labour market. Agency work creates
jobs that would not otherwise exist,
enhancing companies competitiveness
and workers employability, thereby
promoting a labour market that
corresponds better to peoples - and
companies - needs and aspirations.
In global markets continuing to
deal with the crisis, the agency work
industrys capacity to anticipate and
match labour market needs with the
required skills is even more crucial,
as agencies serve as career agents
for workers, immediately identifying
job vacancies, providing training,
and facilitating the transition from
unemployment to work, from one

assignment to the next. In addition,

agency prepared the ground for a
job-creating economic upturn, helping
companies face the ongoing global
competitive pressure, increasing labour
market participation, and furthermore,
accelerating and increasing the number
of jobs created as the economy
recovers.
Now more than ever, the agency work
industry plays a key role in improving
the functioning of the labour market,
by facilitating a better and faster match
between supply and demand of labour,
by securing upwards transitions for
agency workers, and by providing more
work opportunities for more people.

Content
1.

The players

11

2.

Agency work and the economic recovery

19

3.

Agency workers in numbers

19

4.

The profile of agency workers

a. General trends
b. Inclusion and diversity

28

The key facts & figures

The players
There are 128,000 private employment
agencies3 and 176,000 branches4
worldwide, employing 908,000 internal
staff
In 2010 the total annual sales revenues of
the top 10 private employment agencies
worldwide accounted for 28% of the total
agency work market
In 2010 the global total annual sales
revenues amounted to 247 billion5

Agency workers
in numbers

The USA is the world leader with 27%

of total annual sales. Japan represents
19% of the global agency work market,
followed by the UK at 9%
Europe is the leading regional entity by
total annual sales revenues, accounting
for 38% of global total annual sales
revenues

10.4 million agency workers in full-time

equivalents were employed by private
employment agencies across the globe
in 20106
The agency work penetration rate is 1.5%
in Japan and 1.6% in Europe7 and 1.8% in
the USA
On average agency workers work
around half as many hours as full-time
permanent employees8
Most agency work assignments are more
than one month long

The profile of agency workers

On average, 57% of agency workers in
Europe are aged less than 309 compared
with 55% outside Europe10
77% agency workers have at best finished
their secondary education11
Agency workers work in a wide range
of sectors represented most strongly in
services and manufacturing

Agency work and the economic

recovery
Agency work is a bellwether of the
economic situation
The private employment agency industry
has rebounded sharply since the
recession but industry growth has slowed

3. based on data from 37 countries

4. based on data from 29 countries
5. based on data from 34 countries
6. based on data from 43 countries
7. based on data from 29 countries. If Russia is included in calculations,
penetration rate for Europe would be 1.2%
8. based on data from 29 countries
9. based on data from 17 countries
10. based on data from 9 countries
11. based on data from 19 countries

10

1. The players
T
 here are 128,000 private employment agencies12
and 176,000 branches13 worldwide, employing
908,000 internal staff14
I n 2010 the total annual sales revenues of the
top 10 private employment agencies worldwide
accounted for 28% of the total agency work market
I n 2010 the global total annual sales revenues
amounted to 247 billion15
T
 he USA is the world leader with 27% of total
annual sales. Japan represents 19% of the global
agency work market, followed by the UK at 9%
E urope is the leading regional entity by total
annual sales revenues, accounting for 38% of
global total annual sales revenues
12. based on data from 37 countries
13. based on data from 29 countries
14. based on data from 34 countries
15. based on data from 35 countries

11

There are 128,000 private

employment agencies...
In 2010 there was a recorded
128,000 private employment
agencies globally16. The Asia/Pacific
region accounts for 57% of all private
employment agencies (PrEAs).
Europe accounts for 26% of all PrEAs,
with North America for accounting
for 12%. China, Japan and the USA
are the top three countries in terms
of number of PrEAs, accounting
collectively for 65% of all agencies
worldwide. As recognised by the ILO:
Private employment agencies play
an important role in the functioning
of contemporary labour markets.
For the past three decades, the
increasing need to provide workers
and services to a rapidly growing
and flexible labour market has led
to the spectacular development of
these agencies.*
* ILO - Private employment agencies, temporary agency workers
and their contribution to the labour market | 2009

12

Number of private employment agencies**

China
Japan
USA
UK
Germany
Australia
Netherlands
South Africa
Poland
Brazil
Czech Republic
South Korea*
Denmark
France
Austria
Colombia
Mexico
Hungary*
Canada
Norway
Sweden
Finland*
Slovenia*
Spain
Portugal
Chile
Peru
Belgium
Slovakia*
Romania*
Argentina
Italy
Luxembourg*
Lithuania
Estonia
Macedonia*
Greece

49,000
20,000
13,910
11,500
6,049
3,500
3,260
3,150
2,998
1,772
1,650
1,419
1,347
1,200
1,200
716
700
667
650
600
500
450
355
350
265
188
170
142
129
129
90
70
41
30
30
27
9
0

16. Based on data from 37 countries

10,000

20,000

30,000

40,000

50,000

60,000

Source: Ciett national federations 2010

*Source: Ciett national federations 2009
**Based on figures from 37 countries

... with 176,000

branches worldwide
In 2010 the total number of PrEA
branches was 176,00017. The Asia/
Pacific region accounting for 52%,
Europe for 24%, and North America for
19%. Japan, South Africa and the USA
are the top three countries by number
of branches, accounting together for
74% of all branches worldwide.
The branch to PrEA ratio varies
greatly from country to country,
from a staggering 37.5 branches per
PrEA in Italy to a much smaller ratio
in Germany or the UK. This difference
can be explained by the very high
concentration of the Italian agency
work market, characterised by a
small number of large companies
with an extensive network. This is
in contrast to highly fragmented
markets, such as Germany or the
UK, characterised by a large number
of PrEAs, often operating from a
single local branch (some Staffing

The players

Number of branches**
Japan
USA
UK
South Africa
Australia
France
Netherlands
Germany
Italy
South Korea*
Canada
Austria *
Belgium
Hungary*
Sweden
Norway
Spain
Brazil
Slovenia*
Argentina
Mexico
Peru
Slovakia*
Romania *
Colombia
Czech Republic
Chile
Luxembourg*
Greece

82,602
31,932
17,000
7,120
7,000
6,400
5,267
4,177
2,600
1,983
1,700
1,500
1,228
977
850
800
644
589
465
394
246
214
194
194
164
115
112
73
17
0

10.000

20.000

17. Based on data from 29 countries

companies operate without any

branches, while there is also a
number of dormant, non active

30.000

40.000

50.000

60.000

70.000

80.000

90.000

Source: Ciett national federations 2010

*Source: Ciett national federations 2009
**Based on figures from 29 countries

agencies influencing this number).

The global average is 3 branches per
PrEA.

13

908,000 people were employed

as internal staff by PrEAs in 2010
908,000 people were employed
as internal staff [HR consultants
and back-office people working in
branches] by PrEAs in 201018. Europe
accounts for 30%, the Asia/Pacific
region for 24%, and South America
for 21%. The top three countries
in terms of internal staff are Japan,
Brazil, and the USA, accounting
together for 62% of all internal staff
worldwide.
The global average is 4 people
employed as internal staff per
branch, and 10 per PrEA. This
illustrates that the agency work
industry is still mostly composed of
small and medium-sized companies,
despite the presence of several large
multinationals operating worldwide.
18. Based on data from 34 countries

14

Number of Internal Staff**

USA
Japan
Brazil
UK
Germany
Netherlands
South Africa
France
Sweden
Australia
Ireland*
Italy
China
Belgium
Poland
New Zealand
Argentina
Slovakia*
Romania*
Mexico
Hungary*
Finland*
Peru
Norway
South Korea
Chile
Slovenia*
Czech Republic
Portugal*
Uruguay
Bulgaria
Austria
Luxembourg*
Greece

191,592
185,000
183,282
95,865
60,000
34,000
31,500
20,000
15,000
15,000
12,950
11,000
10,544
5,794
4,100
4,012
3,680
1,007
3,518
2940
2,723
2,600
2,560
1,950
2,125
1,511
368
820
750
600
470
400
307
200
0

20,000 40,000 60,000 80,000 100,000 120,000 140,000 160,000 180,000 200,000

Source: Ciett national federations 2010

*Source: Ciett national federations 2009
**Based on figures from 34 countries

The top 10 PrEAs worldwide accounted

for 28% of global annual sales revenues in 201019
In 2010 the main global players
began their recovery from the
economic crisis. Adecco, with
$21.3 billion in total annual sales
revenues, remains the market
leader. Manpower is the second
largest PrEA with $18.9 billion,
followed by Randstad with $18.8
billion. It should be noted that in
2011 Recruit acquired the US and
European operations of Advantage
Resourcing, making it the 4th largest
global staffing firm. In the same year
Randstad acquired SFN Group.

The players

Top 10 staffing companies in billions of $

25.0

21.3
20.0
18.9

18.8

15.0

10.0

6.4
5.0

5.0

4.5

4.1

4.2
2.8

2.4

0
Adecco

19. Based on data from 35 countries

Manpower

Randstad

Allegis

Kelly

Recruit

Group

Services

Staffing

USG People

Hays PLC

Robert Half

Temp
Holdings

Source: Staffing Industry Analysts 2010 - www.staffingindustry.com

Note: Recruit Staffing bought Advantage Resourcing US and Euopean operations in 2011, thus
making Recruit the 4th largest global staffing firm in 2011. Randstad aquired SFN Group in 2011

15

In 2010, the USA and Japan are global agency work

market leaders by total annual sales revenues
In 2010, the global market for Agency
work accounted for 247 billion
Euros. The USA is the world leader
with 27% of global annual sales. The
Japan represents 19% of the global
agency work market. The UK remains
the third largest market worldwide
with 9% of global total annual sales
revenues. Europe accounts for 38%
of global total annual sales revenues,
North America for 29% and Asia/
Pacific for 26%.

Percentage of total annual sales revenues in 2010

Rest of World
18%

Japan 19%

UK 9%

France 7%

Germany 6%

USA 27%

Australia 5%
Netherlands 4%
Brazil 3%

16

2. Agency work and the economic recovery

A
 gency work is a bellwether of the economic
situation
T
 he private employment agency industry has
rebounded sharply since the recession but
industry growth has slowed

17

Agency work continues to display

a relationship with GDP growth
The use of agency work echoes the
behaviour of the general economy.
Various studies have confirmed that
there is a direct correlation between
variations in GDP and the level of use
of agency work. In years of growth,
the supply and demand of agency
workers increase proportionally,
and diminish when the economy
falters. As a precise indicator of the
economic situation, the evolution
of the agency work industry is
therefore monitored as such, as
private employment agencies are
the first impacted by the crisis.

Evolution of number of hours worked by agency workers (year on year)

versus EU 27 GDP growth rate (year on year)
30%

6%

20%

4%

10%

2%

0%

0%

-10%

-2%

-20%

-4%

-30%

-6%
Q1-08

Q2-08

Q3-08

Q4-08

Q1-09

Q2-09

Change in hours worked (European average)

18

Q3-09

Q4-09

Q1-10

Q2-10

Q3-10

Q4-10

Q1-11

Q2-11

Q3-11

Growth rate of GDP volume

Note: The weighted European Average is the year on year change of agency workers in full-time equivalent employment on a daily basis (except where noted
otherwise). The weighted average determined by the surveyed countries share of the European agency work market in 2009. The countries contributing to
the weighted European Average account for 58% of the agency work market in Europe. The EU average is calculated by adding the individual country figures
multiplied by their percentage of the agency work industry in Europe, then scaling the figures to one hundred percent.

The agency work industry in Europes growth

continued throughout 2011

Year on year change in the number of hours worked by agency workers

60.0%

40.0%

20.0%

0.0%

-20.0%

-40.0%

FR

BE

PL

in France and Belgium followed

similar patterns with strong growth
from mid 2010 through to the same

IT

NO

Jul-11

Sep-11

May-11

Jan-11

Mar-11

Nov-10

Jul-10
CH

Sep-10

May-10

Jan-10

Mar-10

Sep-09
DE

Nov-09

Jul-09

May-09

Jan-09

Mar-09

Sep-08
NL

Nov-08

Jul-08

May-08

Jan-08

-60.0%
Mar-08

The crisis affected the different

European agency work markets at
different times, depending on the
openness of their economies, the
maturity of their markets, and their
dependence on certain segments of
the economy. Accordingly, a country
like Germany which weathered the
crisis better than most, can be seen
to have surpassed the previous levels
of temporary agency work achieved
before the beginning of the crisis.
Italy has also experienced strong
growth throughout 2010 and 2011.
Poland is an example of a country
where agency work does not have
a long history, so its strong year on
year growth is somewhat expected
as it is coming from quite a low base.
Agency work in the Netherlands
suffered a smaller dip than in other
countries, however its return to
growth following the crisis has
been at a lower rate than in other
countries. Trends for agency work

Agency work
and the economic recovery

Weighted European Average

period in 2011 followed by a slowing

in the growth of the industry in the
third quarter of the year.

19

Agency work is a bellweather

for the economic environment
In October, EU 27 unemployment
levels rose by +2.4% compared with
the same period in 2010. At the same
time agency work posted a +1.1% rise
in hours worked.
From the beginning of the time
series in 2008, an inverse relationship
between unemployment levels in
the EU and the amount of agency
work being carried out is on display.
Recent months have shown the
growth of the agency work industry
to have slowed considerably, while
at the same time year on year
unemployment levels have began to
rise again.
Germanys agency work industry
began to grow again as early as May
2009 and in July 2010, the German
agency work industry returned to
pre-crisis levels of employment.

20

Evolution of the number of hours worked by agency workers (year on year)

versus average EU 27 unemployment change (year on year)
40%

30%

20%

10%

0%

-10%

-20%

-30%

-40%
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Jan Feb Mar Apr May Jun Jul Aug Sep Oct
08 08 08 08 08 08 08 08 08 08 08 08 09 09 09 09 09 09 09 09 09 09 09 09 10 10 10 10 10 10 10 10 10 10 11 11 11 11 11 11 11 11 11 11

Changes in hours worked (European Average)

This can be partly attributed to

Germany obtaining more appropriate

Y-O-Y Change in unemployment (EU 27)

regulations later than in other

European countries.

The American agency work market began

to recover earlier than the industry in Europe
American economic activity
measured by employment peaked
in December 2007. Since then, it
has lost jobs until mid 2009 when
it began to grow again. But even
though the decline in agency work
occurred later, it rapidly outpaced
that of the American workforce
at large, as it played its role of
buffer, cushioning the impact on
permanent staff. The sustained
recovery of the industry points that
in the economic recovery, agency
workers are among the first to be
hired.

Agency work
and the economic recovery

US staffing employment index since 2006

15.00%

120

10.00%

110

5.00%
100
0.00%
90
-5.00%
80
-10.00%

70

-15.00%

-20.00%

60
6/18/2006

Week-to-Week Change

6/18/2007

6/18/2008

6/18/2009

6/18/2010

6/18/2011

ASA Staffing Index (Set at 100 on 6/12/2006)

21

3. Agency workers in numbers

1
 0.4 million agency workers in full-time
equivalents were employed by private
employment agencies across the globe in
2010
T
 he agency work penetration rate is 1.5% in
Japan and 1.6% in Europe and 1.8% in the USA

22

On average agency workers work nearly half

as much as full-time permanent employees
Most agency work assignments are more
than one month long

23

10.4 million agency workers

were employed daily in 201020
In 2010 the total number of agency
workers worldwide amounted to
10.4 million in full-time equivalents21.
Europe accounts for 35%, North
America for 25%, and the Asia/Pacific
region for 13%.
The USA employs nearly as many
agency workers in full-time
equivalents [2.58 million] than the
second and third biggest suppliers
of agency workers combined.
South Africa has the second highest
number of agency workers in fulltime equivalents [967,000], ahead
of Brazil [965,000], Japan [960,000]
and the UK [860,000], (UK figures
are representative of the 2009/2010
financial year). Together, the USA,
South Africa, and Brazil account for
44% of all agency workers assigned
worldwide.

24

Daily average number of agency workers (FTE)

USA
South Africa
Brazil
Japan
UK
Germany
France
Colombia
Australia
Netherlands
Italy
Mexico
Poland
Canada
South Korea
Spain
Portugal*
Peru
Belgium
Hungary*
Switzerland
Austria
Argentina
Russia*
Sweden
Romania*
Macedonia*
Slovenia *
Ireland
Czech Republic
Chile
Norway
Finland
Denmark
Slovakia*
Uruguay*
Bulgaria*
New Zealand
Greece
Luxembourg*
Estonia
Latvia
Lithuania

2,584,000
967,000
965,000
960,000
880,000
793,000
520,000
514,190

308,250
208,000

197,000
132,350
114,000
99,000
90,682
87,000
87,000
85,000
81,848
68,000
68,000
66,000
63,000
62,000
60,000
50,000
48,959
48,000
35,000
32,000
31,689
21,811
21,649
21,227
18,500
16,237
8,000
7,567
5,000
4,300
3,000
2,500
2,110

20. based on data from 43 countries

21. ibid

Source: Ciett National Federations

*Source: Ciett estimate
**Based on figures from 43 Countries

Evolution of the number

of agency workers in Europe [FTE]
In the last fifteen years, the number
of agency workers in Europe has
greatly increased, partially as a result
of more appropriate regulation
being put in place in formerly tightly
regulated labour markets, notably
in Italy, Germany, and the Nordic
countries, and the opening up of
new markets in Central and Eastern
Europe.
It is important to note that with
each passing year the level of
information available on the number
of agency workers has improved
leading to more countries being
represented. Care should be taken
to only make direct comparisons
to previous years where data is
available.
* Denotes Ciett estimate based on the overall evolution of
comparable markets between 2009 and 2010 of 8.52%
**Denotes Eurostat estimate (Nace code 78.2)

Agency workers
in numbers

Evolution of agency work penetration in Europe

Austria
Belgium
Bulgaria
Czech Republic
Denmark
Estonia
Finland
France
Germany
Greece
Hungary
Ireland
Italy
Latvia
Lithuania
Luxembourg
Macedonia
Netherlands
Norway
Poland
Portugal
Romania
Russia
Slovakia
Slovenia
Spain
Sweden
Switzerland
UK

1996

1997

1998

1999

2000

2001

2002

2005

2006

2007

2008

2009

2010

0,5%
1,3%
0,2%

0,6%
1,6%
0,3%

0,7%
1,6%
0,3%

0,8%
1,7%
0,3%

0,9%
1,7%
0,4%

0,8%
1,6%
0,4%

2003
1,0%w
1,6%
0,4%

2004

0,4%
1,2%
0,2%

1,2%
1,8%
0,5%

1,2%
1,8%
0,6%

1,5%
2,1%
0,7%

1,6%
2,2%
0,7%

1,6%
2,1%
0,1%
0,7%
0,7%

0,4%
1,3%
0,5%
0,2%
-

0,4%
1,6%
0,6%
0,3%
-

0,4%
2,0%
0,7%
0,6%
0,0%

0,3%
2,2%
0,7%
0,6%
0,1%

0,4%
2,5%
0,9%
1,5%
0,3%

0,5%
2,5%
0,9%
1,4%
0,3%

0,4%
2,3%
0,9%
0,8%
1,4%
0,4%

0,5%
2,2%
0,9%
1,0%
1,4%
0,6%

0,6%
2,3%
1,1%
1,3%
1,3%
0,7%

0,7%
2,3%
1,2%
1,4%
1,3%
0,7%

0,7%
2,4%
1,5%
1,4%
1,5%
0,8%

1,1%
2,5%
1,9%
0,2%
1,4%
1,7%
1,0%

1,3%
2,3%
1,9%
0,0%
1,4%
1,7%
0,9%

1,2%
2,1%
0,3%
0,6%
-

1,2%
2,2%
0,4%
0,6%
-

1,2%
2,4%
0,5%
0,7%
-

1,7%
2,4%
0,5%
0,9%
-

2,2%
2,3%
0,5%
0,9%
-

2,1%
2,2%
0,5%
0,9%
-

2,1%
2,1%
0,5%
0,9%
-

2,1%
1,9%
0,4%
0,1%
0,9%
-

2,1%
1,9%
0,5%
0,2%
0,9%
-

2,0%
2,2%
0,6%
0,2%
0,9%
-

2,5%
0,4%
2,5%
1,0%
0,2%
0,9%
-

2,4%
0,3%
2,8%
1,0%
0,4%
0,9%
-

1,9%
0,3%
2,9%
1,0%
0,5%
1,6%**
0,3%

0,5%
0,2%
0,6%
2,6%

0,7%
0,3%
0,6%
2,9%

0,8%
0,4%
0,8%
2,6%

0,9%
0,6%
0,9%
2,8%

0,7%
1,0%
1,0%
3,7%

0,7%
0,9%
1,0%
3,7%

0,6%
0,8%
0,9%
3,7%

0,6%
0,7%
0,9%
3,9%

0,7%
0,7%
1,0%
4,1%

0,7%
0,7%
1,2%
4,2%

0,7%
0,8%
1,5%
4,3%

0,8%
1,3%
1,7%
4,7%

0,6%
0,3%
0,6%
1,3%
1,7%
4,1%

1,4%
1,6%
0,2%
0,7%
0,7%
0,5%*
0,8%
1,7%
1,6%
0,1%
1,2%
0,9%
0,7%
0,2%*
0,2%*
1,9%
0,8%
2,4%
0,8%
0,5%
1,6%**
0,3%
0,1%
0,6%
0,3%
0,4%
1,0%
1,4%
3,7%

1,6%
1,9%
0,3%*
0,7%
0,8%
0,5%
0,9%
2,0%
2,0%
0,1%
1,8%*
1,9%
0,9%
0,3%*
0,2%*
1,9%
0,8%*
2,5%
0,9%
0,7%
1,7%*
0,5%
0,1%
0,8%*
0,5%*
0,5%
1,3%
1,6%
3,0%

Source: Ciett national federations

*Source: Ciett estimate
**Source: Eurostat (Nace Code 78.2)

25

Agency work nears its 2008 high

in 2010 throughout Europe

26

Comparative penetration rate 2008-2010

4.5%
4.0%
3.5%
3.0%
2.5%
2.0%

2008 average 1.7%

2010 average 1.6%

1.5%

2009 average 1.4%

1.0%
0.5%

2008

22. based on data from 29 countries

23. based on data from 29 countries
24. based on data from 27 countries

2009

Russia

Greece

Bulgaria

Lithuania

Spain

Latvia

Estonia

Slovenia

Romania

Poland

Czech Republic

Denmark

Macedonia

Italy

Slovakia

Finland

Norway

Sweden

Austria

Switzerland

Portugal

Belgium

Hungary

Luxembourg

France

Ireland

Germany

UK

0.0%

Netherlands

Across Europe, the penetration

rate for agency work rose. Germany
with a penetration rate of 2% and
Sweden with 1.3% are notable for
having reached all time highs for
agency work penetration. The fall in
penetration rate in the UK to 3.0% can
be attributed data there referring to
the financial year of 2009/2010 rather
than 2010 as the other countries are
reporting. The average penetration
rate in Europe was 1.6% in 201022, up
from 1.4% in 200923 but still a little
short of the 2008 average of 1.7%24.
Nevertheless, this average hides
enormous differences from country
to country, ranging from 3.0% in the
UK to 0.1% in Greece. Mature markets
in Western Europe, namely the UK,
France, Germany and the Benelux
countries, are all above average;
whereas the markets in Southern and
Eastern Europe are all below average.

2010

Note: estimate for Russia not used in calculating European Average. If included, penetration rate in 2010 would be 1.2%

Evolution of the number of agency workers

in the rest of the world [FTE]
Outside Europe the number of
agency workers has also markedly
increased between 1996 and
2010, on account of the gradual
deregulation of the Japanese labour
market, and the advent of emerging
markets, such as Brazil and South
Africa, on the global scene.
It is important to note that with
each passing year the level of
information available on the number
of agency workers has improved
leading to more countries being
represented. Care should be taken
to only make direct comparisons
to previous years where data is
available.
Denotes Ciett estimate based on the overall evolution of
comparable markets between 2009 and 2010 of 8.52%

Agency workers
in numbers

Evolution of Agency work in the Rest of the World

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

0,3%

0,3%

0,3%

0,3%

0,3%

0,3%

0,2%

0,3%

0,4%

0,4%

0,4%

0,4%

0,4%

0,3%

0,4%

Australia

2,8%

2,7%

Brazil

0,9%

1,0%

0,9%

1,0%

1,0%

Chile

1,3%

0,5%

0,4%

0,4%

0,4%

Colombia

3,3%

2,7%

0,5%

0,5%

0,5%

0,6%

0,8%

1,0%

1,1%

1,2%

1,4%

1,7%

1,9%

2,1%

2,2%

1,8%

1,5%

Mexico

0,1%

0,3%

New Zealand

0,5%

0,5%

0,4%

0,6%

0,6%

0,3%

Peru

0,3%

0,6%

South Africa*

2,3%

2,2%

2,1%

3,4%

6,4%

7,1%

South Korea

0,2%

0,3%

0,3%

0,3%

0,3%

0,4%

0,4%*

1,9%

2,1%

2,1%

2,2%

2,2%

1,9%

1,8%

1,9%

2,1%

2,2%

2,1%

2,0%

1,8%

1,5%

1,8%

Argentina**

Japan

USA**

Source: Ciett National Federations

*Source: Ciett Estimate
**Time series revised compared to previous editions
***Change of methodology in 2009 for calculating FTE workers

27

Outside Europe agency work

penetration rates vary widely
Agency work penetration rates are
determined in part by the level of
maturity of the market in which
they evolve. Mature agency work
markets are characterised by high
penetration rates, indicating a
potent blend of large user bases,
strong economic growth, and
generally relevantly regulated
markets. At a mere 0.9%25 of the total
regional active working population,
the relatively low penetration rate
of agency work in South American
countries reveals the regions
considerable potential for growth.

Evolution of penetration rate 2008-2010

8.0%

7.0%

6.0%

5.0%

4.0%

3.0%

2.0%

1.0%

2008

25. based on data from 6 countries

28

2009

USA

South Korea

Peru

New Zealand

Mexico

Japan

Colombia

Chile

Brazil

Australia

Argentina

0.0%

2010

Note: estimate for Russia not used in calculating European Average. If included, penetration rate in 2010 would be 1.2%

USA has the highest penetration rate

of major markets
In Europe, the appropriateness of
regulation and degree of economic
development explain the differences
in pace of growth of the agency work
industry. In 2010 the penetration
rate for agency work stood at 1.6%26
in Europe. The penetration rate for
Agency work in the USA bounced
back stronger than eirher Japan
or Europe, reaching 1.8% in 2010.
Stricter regulation was imposed
in Japan which led to the agency
work industry dipping below that
seen in the other major markets.
For Europe, it is important to note
that with each passing year a greater
number of Ciett national federations
report on the number of agency
workers. this relates to agency work
becoming a significant form of
employment in these countries. See
page 25 for additional information.
26. 2010 data based on information from 29 countries

Agency workers
in numbers

1.8%

Comparison of european, Japanese and USA penetration rates.

2.5%

2.0%

1.8%
1.6%

1.5%

1.5%

1.0%

0.5%

0.0%

US

1996

1997

Japan

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

Europe

Note: European average calculated using data from available countries

29

Agency workers half as many hours

as full-time permanent employees
Agency workers tend to work fewer
hours during one year than a worker
with a full-time, open-ended contract
with the the notable exceptions
of Colombia, Peru, Germany and
Sweden. From country to country,
the average number of hours worked
by an agency worker compared to
the average number of hours worked
by a permanent full-time employee
varies greatly, from less than 8% in
Luxembourg to 141% in Colombia.
It should be kept in mind that the
average working hours reflects a
diversity of situations and profiles of
agency workers. For instance, sutdents
typically work for short periods of
time during school holidays, therefore
lowering the average to a large extent.

Average number of hours worked *

1,911

Colombia
Peru
South Africa
Germany
Sweden
Brazil
Japan
Greece
Australia
Italy
Mexico
Slovakia
Slovenia
Uruguay
Hungary
Chile
Netherlands
Poland
Switzerland
Romania
USA
Norway
France
Argentina
Spain
Belgium
Czech Republic
Portugal
Luxembourg

2,091
1,419

1,412

1,776
1671
1,625
1,627
1,689
1,560
1,733
2,109

1,300
1,200
1,135
1,120
1,021
1,014

1,686
1,778
1,866
1,786
1,664
1,722
1,961

930
840

2,068

690
688

1,377
1,939

534

1,643

465
437
424
415
370
350
337
289
288
222

1,554
1,820
1,663
1,551
1,947
1,714
1,616

124
0

500

Average per full-time permanent employee

1,778

1,414

1,000

1,500

2,000

Average per agency worker

* By an individual during one year

Sources : Ciett National Federations, , ILO Kilm 7th edition

30

Most agency work assignments

are more than one month long
Average length of agency work assignments
100%
90%
80%
70%
60%
50%
40%
30%
20%
10%

Short-term [< 1 month]

Medium-term [1 3 months]

Czech Republic

Brazil

Spain

UK

South Africa

Italy

Netherlands

Belgium

USA

Peru

Switzerland

Argentina

South Korea

Australia

Greece

Finland

Colombia

Sweden

Norway

0%
Germany

In most countries, the average

length of assignment of an agency
worker exceeds one month, and
often even exceeds three, the
notable exceptions being France
[82%] and Spain [63%], where more
than half of the assignments are
less than one month long. Only 7%
of assignments in Peru and 4% in
Sweden last for less than a month.

Agency workers
in numbers

Long-term [3 months]

31

4. The profile of agency workers

Differences in gender balance depend on the
socio-economic fabric of a country.

77% agency workers have at best finished

their secondary education

57% of agency workers are aged less than 30

in Europe

Agency workers work in a wide range of

sectors represented most strongly in services
and manufacturing

Agency workers outside Europe tend to be

older

32

a. General trends

33

Differences in gender balance depend

on the socio-economic fabric of a country
From country to country, differences
in gender balance in agency work
are determined by the particular
socio-economic fabric and
economic history of each country,
as well as by the sectors allowed
to use agency work. More servicesoriented markets tend to employ
more women, such as Sweden
[60% of women and 57% in the
services sector], whereas markets
with a strong industrial history
usually employ more men, such as
Germany [70% of men and 48% in
the manufacturing sector].

Gender balance of agency workers

100%
90%
80%
70%
60%
50%
40%
30%
20%
10%

Male

34

Female

Australia

Japan

Finland

Sweden

New Zealand

UK

China

USA

Peru

Brazil

Colombia

Greece

Argentina

Czech Republic

Poland

South Africa

Romania

Italy

Netherlands

Mexico

Spain

Slovenia

Slovakia

Belgium

Macedonia

Switzerland

France

Germany

Austria

0%

Most agency workers in Europe

are aged below 30
Average age of agency workers in Europe
100%
90%
80%
70%
60%
50%
40%
30%
20%
10%

< 21

21 - 25

26 - 30

31 - 45

Italy

Norway

Netherlands

Belgium

Czech Republic

Slovenia

Germany

Slovakia

Romania

Greece

Hungary

Spain

France

Denmark

Macedonia

Poland

0%
Sweden

Young people make up a high

proportion of agency workers
compared to the total active
working population with a majority
of agency workers being over 30
years of age. On average, 10% of
agency workers are under 21 years
old with 22% are between 21 and 25
years old. A further 25% are between
25 and 30 Years old. This means that
on average, 57% of agency workers
are under 30 years old. Agency work
often serves as a first professional
experience for first-time entrants
into the labour market, providing
them with a valuable initial
experience or serving as a steppingstone to permanent employment.
Notable exceptions to this trend
are Denmark [70% over 30], and
Macedonia [69% over 30].

The profile
of agency workers

> 45

35

Agency workers
tend to be older outside Europe
Agency workers tend to be older in
Japan, where 58% of agency workers
are over 30 and in the US, where 68%
of Agency workers are aged over 30.
This can be explained by the fact
that in some of these countries
agency work is culturally accepted
as a viable alternative to permanent
employment.

Average age of agency workers in the rest of the world

100%
90%
80%
70%
60%
50%
40%
30%
20%
10%

< 21

36

21 - 25

26 - 30

31 - 45

> 45

Brazil

South Africa

Argentina

Colombia

Mexico

New Zealand

USA

Japan

China

0%

More than a quarter of agency workers

have completed higher education
Education level of agency workers
100%
90%
80%
70%
60%
50%
40%
30%
20%
10%

Low [not completed secondary education]

Medium [completed secondary education]

South Africa

Czech Republic

Brazil

Switzerland

Spain

South Korea

Netherlands

Colombia

Italy

Argentina

Peru

Greece

Belgium

USA

Finland

UK

Norway

Australia

0%
Sweden

On average, 27% of agency workers

have completed higher education.
In Sweden and Australia, more
than half of agency workers have
completed higher education. In
most countries, the majority of
agency workers have a low to
medium initial education level. On
average, 50% of agency workers
worldwide have finished secondary
school, and 23% have not. The Czech
Republic [60%] is the only country
to report the majority of agency
workers having not completed their
secondary education. Agency work
can play an important role in helping
these low-skilled workers enter the
labour market and gain valuable
experience.

The profile
of agency workers

High [completed higher education]

37

Sectoral distribution
of agency work

38

Sectoral distribution of agency work

100%
90%
80%
70%
60%
50%
40%
30%
20%

Agriculture

Manufacturing

Construction

Services

Public Administration

Other

Poland

Czech Republic

Germany

Argentina

Italy

France

South Korea

Belgium

Australia

Switzerland

Spain

Mexico

Colombia

Netherlands

Brazil

South Africa

Norway

Chile

0%

Greece

10%

Peru

Reflecting the ongoing mutations

of the European economies, the
sectoral distribution of agency work
in Europe has seen a recent trend
away from usage in the industrial
sector [31% average], towards a
growing use in the services sector
[37% average]. Manufacturing
remains an important user of agency
work in traditionally industrial
economies, such as Poland [70%]
and Czech Republic [65%]. Mexico
[29%], Norway [15%] and Peru [15%],
make important use of agency
work in public administration, as do
Peru [43%] and France [23%] in the
construction sector. More than three
in four Chilean agency workers work
in the services sector, and 45% of
Argentinian agency workers work in
the manufacturing sector.

b. Diversity

39

The number of agency workers over 50

is increasing in Italy
Workers over 50 are underrepresented in the Italian agency
work population. However, their
numbers are continually on the rise.
In 2004, 2006, 2008 and 2010, the
proportion of agency workers aged
over 50 has steadily increased from
3% to 4% to 5% to 6%.

Percentage of agency workers over 50 in Italy

7.0%
6.2%
6.0%

5.6%

5.0%

4.7%
4.3%

4.0%

Agency work offers groups such as

migrant workers, women returning
from childcare breaks, disabled and
unemployed people across to the
labour market. In principle, agency
work can help workers develop
their skills and experience, thereby
offering pathways into more secure
employment.
Source: Eurofound - Temporary Agency Work and Collective
Bargaining in the EU | 2009

40

3.8%
3.3%

3.0%
2.5%

2.6%

2002

2003

2.8%

2.0%

1.0%

0.0%
2004

2005

2006

2007

2008

2009

2010

Agency workers from target groups

are on the rise in the Netherlands
Agency work gives target groups a
viable access to the labour market,
thereby increasing labour market
participation and diversity. Ethnic
minorities, older people, labour
incapacitated and the long term
unemployed accounted for 31% of
agency workers in the Netherlands
in 2008. This is up from 27% in
2006. Agency work increases
labour market flexibility, whilst
providing basic rights and working
conditions to agency workers.
Because the agency remains the
workers employer, his rights are
capitalised from one assignment
to the next. Agency work thus
integrates outsiders in the labour
market, who then benefit from the
same working conditions as those
provided to other agency workers.

The profile
of agency workers

The percentage of special target groups among temporary employees in the Netherlands
35%
31%
30%
27%
25%

20%

15%

18%

14%

13%
12%

10%

5%
2%

2006
2008

3%
1%

2%

0%
Ethnic minorities

Older workers (45+)

Labour incapacitated

Long-term
unemployed

Total (corrected for

overlap)

41

Disabled temporary agency workers

take on a range of positions
In France, 43% of disabled workers
are classified as skilled blue collar
workers, while 7% occupy middle
management positions. 16% are
white collar employees and 34%
are unskilled blue collar workers.
Through private employment
agencies, disabled agency workers
are integrated at every level of
companies.

Employment of disabled agency workers in France

White
collar16%

Unskilled blue
collar 34%

Skilled
blue collar
43%

42

Middle
management
7%

Notes

43

Notes

44

Notes

45

About Ciett
As the International Confederation of
Private Employment Agencies, Ciett is
the authoritative voice representing the
interests of private employment agency
industry across the world.
Founded in 1967, Ciett consists of 47
national federations of private employment
agencies and six of the largest staffing
companies worldwide: Adecco, GI Group,
Kelly Services, Manpower, Randstad, and
USG People.

46

Its main objective is to help its members

conduct their businesses in a legal and
regulatory environment that is positive and
supportive.
Ciett is divided into 6 regional
organisations: Africa & Near East, Northern
and Southern Asia, North America, South
America [CLETT&A], and Europe [Eurociett].

Ciett National Federation Members

Africa
Morocco | FNETT
South Africa | APSO

Northern Asia
China | CAFST
Japan | JASSA
South Korea | KOSA
Southern Asia
Australia & New
Zealand | RCSA
India | ISF
Singapore | SSA

North America
Canada | ACSESS
Mexico | AMECH
USA | ASA

South America
Argentina | FAETT
Brazil | SINDEPRESTEM
Chile | AGEST
Colombia | ACOSET
Per | AETT Per

Europe
Austria | VZA
Belgium | FEDERGON
Bulgaria | BG Staffing
Czech Republic | APPS
Denmark | Dansk Erhverv
Estonia | ESAA
Finland | HPL
France | PRISME
Germany | BAP
Greece | ENIDEA
Hungary | SZTMSZ
Ireland | NRF
Italy | ASSOLAVORO
Latvia | LASA
Lithuania | LIIA

Luxembourg | ULEDI
Macedonia | NFTWAM
Netherlands | ABU
Norway | NHO Service
Poland | Polskie Forum HR
Portugal | APESPE
Romania | ARAMT
Russia | APEA
Slovakia | APAS
Slovenia | ZAZ
Spain | AGETT & AETT
Sweden |
Bemanningsfrtagen
Switzerland | Swiss Staffing
Turkey | OIBD
UK | REC

www.inextremis.be

Tour & Taxis building

Avenue du Port 86c - Box 302
B 1000 - Brussels
www.ciett.org
info@ciett.org

The Voice of Labour Choice