I think we can all agree that the recruitment market is tough right now. First off, a reminder: this kind of crunch has happened before. Economic cycles ebb and flow, and the recruitment/temporary labour market has weathered down-turns and still emerged. That’s not a prediction that things will automatically bounce back, but a reassurance that this environment can be navigated.
Here are some current recruitment stats to ground us:
- The UK has just over 1 million temporary or contract workers on assignment on any given day — 1,058,300 in 2023, up 8.4% from 2022’s ~976,400. (Source: The REC)
- In 2023 the total number of temporary or contract placements was estimated at 22.6 million — down ~12% on 2022. (Source: The REC)
- The “temporary employment placement agencies” industry in the UK is valued at ~£56.7 billion in 2025, though it has been declining at a CAGR of ~1.0% between 2020-2025. (Source: IBISWorld)
- In England, Wales & Scotland in 2022: ~5% of working-age employees were in temporary employment. (Source: GOV.UK)
What do these numbers tell us?
- Even in a “slowing” market, hundreds of thousands of temp/contract assignments are still being filled.
- The market size is big.
- But it is competitive and under pressure — volumes might be down, margins squeezed, clients more cautious.
- This means the usual “sit back and wait” approach won’t cut it.
You can’t just wait for the market to pick up
One of the most common traps: thinking “once the economy turns, the hires will flood back” and so deciding to “wait it out”. This is dangerous. Because while macro factors matter, your individual actions are far more controllable and will determine whether you thrive or merely survive.
In fact, the earlier stats show that while placements are down, the number on assignment daily increased in 2023. So there are opportunities. The key is not hope — it’s hustle and focus.
What you CAN do now (and why it works)
Here are practical steps — and the reasons why they matter.
Play to your strengths
You know your sector: the types of temporary labour you place, your clients, your talent pool. Lean into that expertise. When clients are cautious, they want people who can deliver quickly, reliably, and reduce risk. Highlight your speed, your quality, your retention track record. That emphasises your value in a tough market.
Re-activate old candidates, past clients & contacts
In a slowdown, your existing network is gold.
- Reach out to candidates you placed before: many may now be looking, or open to short-term gigs, or flexible work.
- Reconnect with clients you haven’t worked with recently — some may still need temps but are quiet; who’ll pick them up first?
- Tap into “warm” leads rather than always chasing brand-new ones. Warm leads cost less effort and often convert quicker.
Invest in relationships
When colleagues are pulling back, you lean in.
- Provide value: market updates, candidate market insight, sector intelligence.
- Be the one they remember when they do need a hire.
- Build trust and positioning now: when the market picks up (and it will), you’ll be first-in-line, not scrambling.
Dial for business — don’t wait for business to call you
Inbound leads will be fewer right now. That means you need to be proactive. Pick up the phone, send personalised emails, schedule calls. It might feel harder — but the payoff is greater because many competitors might be inactive or passive. Your activity differentiates you.
Explore growth niches and new angles
In every cycle there are sectors that buck the trend, or temporary assignments that become more valuable. For instance:
- Clients who are scaling for short-lived projects.
- Sectors under-served where labour demand remains (or will recover quicker).
- Flexible, contingent, part-time, interim roles.
- Upskilling/reshuffling within workforce requiring temporary cover.
By looking for the underserved or “less obvious” niches, you may find opportunities your competitors are ignoring.
Keep cost, speed and flexibility on your pitch
When budgets are tighter, clients care more about cost-effectiveness, speed, flexibility and risk mitigation. Make sure your offering emphasises these: quick turnaround, quality screening, compliance, flexible contract options, and a partner mindset.
Why the future still holds promise
Despite the headwinds, there are positive signs:
- The number of temps/contract workers on assignment increased in 2023 (8.4% year-on-year) even as placements overall dipped. (Source: The REC)
- Labour markets evolve: more companies use flexible labour models in uncertain times (which plays to what you do). The shift to agile, project-based, flexible employment means your value can rise.
- Some segments will bounce back first — be ready for that uptick. When the economic cycle turns, you want to be in a strong position to capture it.
- Because you are experienced (especially you existing recruiters) your expertise is an advantage. Many new entrants might struggle; you have track record, network, know-how.
The Takeaway
If you’re feeling the pressure — you’re not alone. The market is tougher. But that doesn’t mean you’re powerless. This is an active moment: your activity, focus and strategy matter more than ever. The days of “we’ll wait for business to come” are behind you.
So pick up the phone. Re-call your “dormant” list. Reach out to old candidates. Send a meaningful update to a past client. Ask: “what’s changed for you? how can I help this month?” Invest your time where you already have credibility. Lean into relationships. Offer value. Be visible in a time when many aren’t.
Because when others slow down — the ones who stay active will be the ones who emerge ahead.
For the UK temporary labour market: the demand will return. Business will pick up. When it does, you want to be front and centre, not scrambling to reposition. And in the meantime, you’ll be building momentum and trust so that when the cycle shifts, you’re ready.
Final pep-talk
You’ve placed tens, hundreds, perhaps thousands of temps. You know the challenges — but you’ve also seen it work. So treat now as a strategic season, not just a wait. Your hustle today will pay dividends tomorrow. Focus on what you can control: your outreach, your relationships, your value offering.
Your clients need you. Your candidates need you. The market won’t wait, so don’t wait. Let’s get moving.
Voyager Infinity and Voyager Mid-Office are software solutions that make Recruiters’ lives easier. Voyager Infinity is a CRM used by thousands of recruiters globally to source, nurture and maintain the relationships with their clients and candidates, and Mid-Office manages the entire Pay and Bill process (IR35 ready).
