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We previously reported in this blog that temporary/contract hiring is up, which is a good sign that the economy is recovering because companies often hire contractors before taking a chance on direct hires. A recent press release by G. Palmer & Associates, a staffing industry consulting firm, indicates that more good news is to come.

According to the release, G. Palmer & Associates has revealed its “Palmer Forecast” predicting a 10.8% increase in the demand for temporary/contract help for the second quarter of 2010. If this holds true, it will be the second consecutive quarter that temporary/contract staffing has shown year-over-year increases. Last quarter, G. Palmer had predicted a 3.8% decline in temporary help, but it actually increased by 3.6% due to greater Gross Domestic Product growth than expected and decreased unemployment.

Although G. Palmer CEO Greg Palmer said that the unemployment rate will likely remain high for awhile, he believes that temporary/contract jobs hit rock bottom in the third quarter of 2009 and that they will only continue to increase going forward. That is certainly good news for workers, the economy, and any recruiters doing or considering contracting!

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