Business

More people working temp jobs

Posted December 30, 2010 5:57 p.m. EST
Updated December 30, 2010 6:44 p.m. EST

— Unemployment rates in North Carolina and across the nation remain stubbornly high, but one business sector is booming.

Published reports indicate more than 25 percent of the people hired by private U.S. companies this year were temporary workers.

Rod Frankel, president of Frankel Staffing, said using temps allows companies to expand as needed and try workers out without the expense of benefits and taxes for them.

"Companies are almost hedging their bets," Frankel said. "The tax burden includes Social Security, workers' comp (and) withholding tax. That also includes the risk of unemployment insurance."

Frankel Staffing added more temps to its payroll in 2010 than ever before, he said. His company works to match them with the right job.

Many firms use temps with the idea of hiring the best ones permanently down the road, Frankel said.

"Biotech firms (and) medical device companies (have) remained very strong, and they are hiring," he said. "Areas which I think are increasing in the 'hotness,' if you will, would be the sales force."

Other strong sectors include professional services, office staff and pharmaceuticals, he said, while weak areas remain anything related to construction and real estate.