EMPLOYMENT GROWTH IN THE TEMPORARY HELP SUPPLY INDUSTRY

During the 1980s, a significant increase occurred in the employment of temporary workers - employees hired for a specific task and for a lim ited duration - because of changing economic conditions that raised bo th the demand for and supply of temporary workers. Using time-series d ata, we investigate the factors that influenced temporary employment g rowth by analyzing the expansion in the temporary help supply (THS) in dustry On the demand side, increasing aggregate output and heightened foreign competition were the most important factors that encouraged fi rms to hive temporary workers. On the supply side, increasing particip ation of certain demographic groups, notably married women, shifted th e supply curve of temporary workers outward.