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Signs of Weakness in the U.S. Labor Market: Temporary Help Services Experience Continued Decline

Signs of Weakness in the U.S. Labor Market: Temporary Help Services Experience Continued Decline
Abhishek Sharma
Founder & Editor-in-Chief
Published: Updated: 1 min read
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Signs of Weakness in the U.S. Labor Market: Temporary Help Services Experience Continued Decline
Source: Liz Ann Sonders

In September, temporary help services payrolls decreased again, nearing a 16% drop from their highest point.

In August, jobs in temporary help services fell by 5.2% compared to the previous year, bringing the total to 2.69 million. This is the lowest number of jobs in this sector since November 2020.

Temporary help services employment is a key indicator of the labor market because these jobs are easier to hire and fire.

This sector has seen job losses for 22 consecutive months, marking the longest decline since 2008.

Since reaching a peak in March 2022, temporary help services payrolls have decreased by 15.3%, which is the largest drop since 2020.

Historically, such a significant decline in this sector has only occurred during recessions, indicating that the labor market is showing signs of weakness.

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Abhishek Sharma
Founder & Editor-in-Chief

Abhishek Sharma

I’m Abhishek Sharma, an Advocate based in Delhi, entrepreneur, investor, and founder of BigBreakingWire. I am an enrolled Advocate with a strong interest in entrepreneurship, media, and technology. I founded BigBreakingWire, a digital news platform covering breaking news, business, financial markets, companies, and important developments in India and around the world. I also have a software company and take an active interest in technology, software, AI, digital products, and new business ideas. As an investor, I’m interested in discovering and investing in promising businesses and startups. I look for good ideas, strong founders, practical business models, and opportunities with long-term potential. I enjoy building businesses, learning about new industries, and connecting with people who are working on interesting ideas and opportunities. Advocate | Entrepreneur | Investor | Founder & Editor-in-Chief, BigBreakingWire

Last reviewed by Abhishek Sharma on August 31, 2026

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