As we move through 2026, the global staffing industry has emerged from a challenging year marked by slowdowns in many global markets and uneven recovery across regions. Although 2026 is predicted to be similar, it’s not all doom and gloom. Structural growth in Southern Europe, accelerating investment in the Middle East, and an increase in market attraction across Latin America are reshaping where the strongest opportunities are starting to rise.
This blog combines analysis from Workwell Global with insights from our recent Global Talk episode with host Amy Davies, Managing Director of Workwell Global, and John Nurthen, who oversees international research content for Staffing Industry Analysts (SIA), a leading global research and advisory firm focused on staffing solutions.
In this blog, we will cover:
US Staffing Market
European Staffing Market
APAC Staffing Market
2026 Staffing Industry Trends
Top Global Staffing Markets
US Staffing Industry Forecast
“We are pretty much where we were in January 2025.”
In 2025, the US staffing market generated $178.9 billion USD, and is forecasted to grow 2% in 2026. Although John reveals 2026 will be a replay of 2025, he reassures that recruitment agencies are in a stronger position due to experience, and technological advancements which have increased efficiency.
For recruitment agencies, the outlook of the US, like all staffing markets, depends on the sectors that they are pricing in. Staffing Industry Analysts forecasts that all US sectors should improve this year.
Growth pockets are emerging in sectors such as healthcare, with a predicted growth of 2%, industrial and IT are inching upward by 1%, finance and accounting have an estimated 5% growth, and education is showing stronger momentum with 4% growth. For a breakdown of popular areas to place contractors, check out our list of best states for business.
For more US insights, access our updated US staffing market trends report filled with the latest statistics of the US staffing market and popular sectors to recruit in.
LATAM America Staffing Industry Forecast
“Chile is number one for the most attractive staffing markets in the Americas region, Colombia is traditionally high, and Brazil is a huge staffing market that has not fulfilled its potential yet!”
Latin America is rapidly emerging as a strategic growth region for staffing firms. Chile ranks as the most attractive market in SIA’s Americas report, thanks to strong governance and high growth potential. Colombia closely follows due to its high-performing market growth and improving infrastructure. Brazil, which has historically been a complex market to navigate, is beginning to unlock its potential following recent reforms.
With projected growth rates of 6% for Chile, 8% for Colombia, and 5% for Brazil in 2026, the Americas region offers huge opportunities for recruitment firms looking to scale globally.
At Workwell Global, we’ve expanded our in-house international capabilities with new teams and infrastructure in Brazil and Colombia, enabling businesses to compliantly deploy and manage contractor talent across the region.
EMEA Staffing Industry Trends and Forecast
European Staffing Market Forecast 2025
“The better performing countries in Europe over the last few years have been in southern Europe. Spain and Italy have been the better-performing staffing markets”
While most European markets struggled in 2025, Southern European countries, particularly Spain and Italy, have been the better-performing countries growing by 8% and 2%.
Staffing Industry Analysts anticipated low growth in 2025 in Europe: Germany (-6%), France (-4%), the Netherlands (0%). Despite the challenges of 2025, the 2026 forecast is more positive, with most European markets expected to return to low but stable growth.
European Staffing Industry Trends and Forecast 2026
SIA’s analysis for 2026 suggests flat and low single-digit growth for the European markets this year.
- Spain continues to lead European growth due to structural development and a relatively young staffing market. Spain remains a standout market with an expected 4% growth in 2026, estimated to be worth $9.32 billion.
- The France staffing market is expected to grow 1% in 2026, recovering from a 4% decline in 2025, bringing the country to a market value of $34 billion.
- The Germany staffing market is forecast to remain flat in 2026, holding at around $34.12 billion. After a 6% decline in 2025, Germany remains a challenging market with slow recovery.
- The Poland and Denmark staffing markets rank highly in SIA’s Most Attractive Staffing Market report, due to their growth potential and economic growth.
- Moderate low digit growth is expected in the Netherlands, Belgium and Norway
Middle East Staffing Market Forecast 2026
The UAE staffing market is projected to grow 10% in 2026, reaching approximately $2.07 billion. Ranked fifth in SIA’s Most Attractive Staffing Markets in EMEA, the UAE scores high across governance, economic growth, and technology infrastructure.
The Saudi Arabia staffing market is expected to grow 8% in 2026, reaching around $2.6 billion. The country’s growth is being driven by Vision 2030, driving large investments across infrastructure, healthcare, and tech.
Check out our recent session for more insights around how to place and payroll contractors in Saudi Arabia!
APAC Staffing Industry Trends and Forecast
APAC Staffing Industry Forecast 2025
“APAC is where you’ve got the biggest growth with double digits.”
In 2025, APAC was once again the strongest performing region. Continuing to dominate the global staffing industry is Japan, India, and China, remaining the largest markets. Several APAC countries delivered double digit growth in 2025, with China (15%), India (11%), and Vietnam (15%), while Indonesia, Malaysia, and the Philippines also posted strong year-on-year growth.
APAC Staffing Industry Forecast 2026
Looking ahead to 2026, John shares SIA’s prediction of significant staffing industry growth that is forecasted across many countries in the APAC region:
- Indonesia continues to rise with a forecast of 9% growth, ranking as the most attractive staffing market in APAC, thanks to its strong economic momentum.
- China and India are forecast to experience double-digit growth for another year running by 13% and 12%, reinforcing the consistent opportunities seen last year.
- Taiwan, Vietnam and South Korea are ranked in the top 10 most Attractive Staffing Markets in APAC, reinforcing Southeast Asia as a cluster of high-growth markets with increasing opportunities.
- Although Japan isn’t going to be the best market for 2026, with 3% growth, Japanese staffing firms continue to have positive results. John noted, the Japanese market still has structural growth because temporary staffing was only regulated in the 1990s, making it a less mature market in comparison to those of similar size.
Key Staffing Industry Trends Impacting the Global Staffing Landscape in 2026
1. The ‘Lazy W’ Economic Recovery and the Effects on Staffing Industry Trends
“The ‘W’ turned out to be even lazier than we would have hoped!”
Last year, when speaking about economic recovery, John Nurthen spoke about the ‘Lazy W’, a recovery pattern far slower and flatter than the sharp bounce back of a typical V shaped rebound.
Instead of a ‘V-shaped’ rebound, which is typically a much sharper drop and a sharp growth, the economy has endured what John has labelled a ‘Lazy W’ recovery, characterised by a period of growth followed by an unexpected downturn.
Post-pandemic, SIA predicted that the recovery would continue at a steady pace. After last year’s prediction of a slow recovery, John reveals that the forecast turned out to be more accurate than recruitment firms would have liked.
2. The GDP uncertainty across global markets
“The recent GDP forecasts for the US are all over the place! The OECD says GDP growth will be 1.7%, Goldman Sachs says 2.6%.”
In previous years it is common to always look at the relationship between economic patterns such as GDP’s growth or decline, and being in line with what the staffing industry performance might do.
John explains how GDP has more of a correlation in some countries than others. Northern Europe countries like, France and Belgium tend to be very good! Typically, if we can understand how GDP is performing, we can tell you how fast the staffing market is growing.
3. The Post Covid Market
“To make a good staffing market, you need labour churn… and there hasn’t been a lot of moving around.”
The post Covid labour market continues to shape the staffing landscape in 2026. John explained that after the Great Resignation came the “great stay,” meaning employers are focusing more on retention, which reduced the labour churn that staffing firms rely on.
In result of this, employees have been more reluctant to move around but as John states, to make a good staffing market, you need labour churn.
4. The impact of AI across Global Markets
“The impact of AI has positives and negatives, and everyone’s still grappling with what that means for the labour market”
Over the next few years, AI will continue to reshape sourcing, referrals, internal mobility, and client expectations.
“Staffing firms are competing against other ways employers source talent… all improved by technology.”
In the battle to attract and retain talent, the 2026 staffing market includes a broad talent sourcing ecosystem. Instead, employers are finding they have better in-house options if they invest in internal promotions, referral programs and their own curated talent pools, and use modern technology to enhance these channels. In addition to changes in the overall talent pools, technology has continued to advance the outlook of what hiring looks like.
The rise of AI-enabled referral platforms, high-quality, efficient job boards, and freelance marketplaces gives employers more direct ways to source talent than ever before.
For more insights about AI across global markets, access our Global AI Market Trends eBook packed with the top countries, cities, and states for sourcing talent, the highest-paying roles, and the most promising areas for AI growth.
Navigating Staffing Industry Trends in 2026
The staffing industry landscape in 2026 is certainly interesting with recovering markets, workforce behaviour shifting since Covid, and technology transforming how talent is sourced. The US is stabilising, Europe is improving in pockets, especially Southern Europe, and Asia remains the global growth leader, with China, India and Indonesia driving the strongest momentum.
If you’re looking to identify the strongest opportunities and shape your 2026 strategy, speak to our experts and start planning your next steps!
Disclaimer: The information provided here does not, and is not intended to, constitute legal or accountancy advice. Instead, the information and content available are for general informational purposes only.
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