on-demand staffing platform Market

The on-demand staffing platform market is expected to grow from US$ 168.48 million in 2022 to US$ 386.24 million by 2028; it is expected to register a CAGR of 14.8% from 2022 to 2028.

The staffing industry continues to increase its automation investments to improve hiring and recruitment processes. Moreover, staffing firms continue to invest in on-demand staffing platforms to automate time, attendance, and expense management and increase operating efficiency. Also, the staffing industry is experiencing a rapid transition from on-premise to cloud-based solutions. The growing awareness of tracking the hourly workforce has created the demand for automation in the hiring process, thus becoming a major trend in the on-demand staffing platform market growth.

APAC is expected to register the highest CAGR in the on-demand staffing platform market from 2022 to 2028. During the peak of the COVID-19 pandemic, Asia Pacific witnessed a decline in employment rates. There is a significant gap between the number of qualified workers and the available jobs across the region, which is expected to increase in the coming years. According to a report from the International Labor Organisation, the region is recovering from the loss of over 57 million jobs in 2020 and is expected to decline till 2023. However, the region still lacks 22 million jobs in 2022, a jobs gap of 1.1%, and the number is projected to increase to 1.4% in 2023. Furthermore, agriculture, forestry & fishing, and manufacturing sectors are the three largest sectors in terms of employment. Also, the wholesale and retail trade industries together account for approximately 60% of the region's 1.9 billion workforces. However, the on-demand staffing platform startups in Asia Pacific experienced several challenges, mainly in terms of cultural changes in the office environment, prequalifying blue-collar workers, and forming a business partnership with recruitment agencies.

In addition, in Indonesia, the government has eased labor laws to permit rapid temporary hiring, which has accelerated the adoption of on-demand staff hiring platform in the country. In October 2022, PERSOL, one of the largest HR service providers in Asia Pacific, acquired Workmate, Singapore's fastest-growing on-demand staffing platform. The acquisition aims to accelerate the advancement of Workmate's on-demand workforce solutions across the region. Thus, the adoption of on-demand staffing platforms across the region is propelling the on-demand staffing platform market growth.

According to the Monster Employment Index study in 2022, online recruitment across the staffing industry in the Middle East grew by 15%, and there is an increase in job demand as the employment index grew from 115 in August 2021 to 132 in August 2022. The BFSI industry is experiencing rapid growth in e-recruitment activity annually, along with the retail trade & logistics industries. Moreover, the surge in the number of small companies, along with online recruiting, is bolstering the demand for on-demand staffing platforms in the Middle East. Flexible schedules and work-from-home plans are becoming major factors propelling the demand for temporary staff. Businesses are adjusting to meet the needs of workers by using virtual hiring platforms and other advanced multimedia networking tools to control remote hiring and teams.

In May 2020, Ogram, a UAE-based on-demand staffing platform, raised a US$ 870,000 in a pre-Series A equity round by Global Ventures. The platform resolves staffing challenges such as costly onboarding processes for temporary workers, lack of staff availability at short notice, and limited access to reliable staff across hospitality, e-commerce, food & beverages, and logistics industries. According to a report from Career Junction (a website that provides South African job seekers, agencies, and employers with reliable insights into salary levels and online labor supply), the recruitment activity in the country increased by 32% between April 2021 and April 2022, reflecting a strong hiring trend in the staffing industry.

The on-demand staffing platform market is segmented on the basis of deployment, enterprise size, and geography. Based on deployment, the on-demand staffing platform market is bifurcated into on-premise and cloud based. By enterprise size, the on-demand staffing platform market is segmented into small & medium enterprises and large enterprises.

Based on geography, the on-demand staffing platform market is segmented into North America (the US, Canada, and Mexico), Europe (Germany, the UK, France, Italy, Russia, and the Rest of Europe), Asia Pacific (Australia, Japan, South Korea, India, China, and the Rest of APAC), the MEA (Saudi Araba, the UAE, South Africa, and the Rest of MEA), and SAM (Brazil, Argentina, and the Rest of SAM).

The overall on-demand staffing platform market has been derived using both primary and secondary sources. Exhaustive secondary research has been conducted using internal and external sources to obtain qualitative and quantitative information related to the on-demand staffing platform market. The process also obtains an overview and forecast for the on-demand staffing platform market with respect to all the segments. Also, multiple primary interviews have been conducted with industry participants to validate the data and gain more analytical insights. Participants in this process include industry experts, such as VPs, business development managers, market intelligence managers, national sales managers, external consultants, valuation experts, research analysts, and key opinion leaders, specializing in the on-demand staffing platform market.