After two weeks of holiday-related declines, the ASA Staffing Index for July 12–18 rebounded (+3.9%) from the prior week—reaching a rounded value of 97. Despite the recovery, many staffing firms cited the ongoing effects of Covid-19 as a factor limiting further employment growth. Staffing jobs were up 36% from the same week last year, a significantly narrower year-to-year gap compared with the average of 49% seen over the previous 15 weeks.

New starts surged 10.2% on average, with half (52%) of staffing companies reporting gains in new assignments week-to-week.

The ASA Staffing Index four-week moving average held at a value of 96. Temporary and contract staffing employment from mid-June through mid-July grew 38% compared with the same period in 2020, also narrower than the average year-to-year gap of 47% from the prior 15 reporting periods.

“Demand for staffing services has rebounded post-holiday as evidenced by a continued upward trend in temporary and contract employment levels,” said Cynthia Davidson, ASA senior director of research.

This week, containing the 12th day of the month, will be used in the July monthly employment situation report scheduled to be issued by the U.S. Bureau of Labor Statistics Aug. 6.