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The Canadian recruiting industry's financial success is intrinsically linked to the overall economy and unemployment rate. A healthy labour market is fueling revenue growth for recruiting agencies, which are progressively using technology to add more value to their services. The shift to remote and hybrid work arrangements placed additional need on agency services, with firms tasked with bridging evolving worker expectations and retention concerns in a decentralized workforce. As a result of economic growth and changing needs across the workplace, industry revenue is anticipated to climb at a CAGR of 5.4% to $11.4 billion through the end of 2025, including growth of 3.8% in 2025 alone.Recruiting and employment services are undergoing a transformation, driven by vast improvements in technology and the increasing use of online resources. Professional networking sites and job portals like LinkedIn and Indeed are bridging the gap between employers and job seekers. Successful recruiting agencies are capitalizing on digital tools and networks to become more efficient. Agencies are using software to scan resumes and cover letters for specific keywords and qualifications, enhancing the quality of placements and improving efficiency.
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IBISWorld's research coverage on the Employment & Recruiting Agencies industry in Canada includes market sizing, forecasting, data and analysis from 2015-2030. The most recent publication was released August 2025.
The Employment & Recruiting Agencies industry in Canada operates under the NAICS industry code 56131CA. Canadian employment and recruitment agencies list employment vacancies and select, refer and place job seekers into permanent employment positions. Individuals placed into these new positions are not employees of this industry’s agencies. Related terms covered in the Employment & Recruiting Agencies industry in Canada include candidate, placement and contingency.
Products and services covered in Employment & Recruiting Agencies industry in Canada include Temporary staffing, Permanent placements and contract staffing and Other employment services.
Companies covered in the Employment & Recruiting Agencies industry in Canada include Allegis, Adecco and Randstad NV.
The Performance chapter covers detailed analysis, datasets, detailed current performance, sources of volatility and an outlook with forecasts for the Employment & Recruiting Agencies industry in Canada.
Questions answered in this chapter include what's driving current industry performance, what influences industry volatility, how do successful businesses overcome volatility, what's driving the industry outlook. This analysis is supported with data and statistics on industry revenues, costs, profits, businesses and employees.
The Products and Markets chapter covers detailed products and service segmentation and analysis of major markets for the for the Employment & Recruiting Agencies industry in Canada.
Questions answered in this chapter include how are the industry's products and services performing, what are innovations in industry products and services, what products or services do successful businesses offer and what's influencing demand from the industry's markets. This includes data and statistics on industry revenues by product and service segmentation and major markets.
The Geographic Breakdown chapter covers detailed analysis and datasets on regional performance of the Employment & Recruiting Agencies industry in Canada.
Questions answered in this chapter include where are industry businesses located and how do businesses use location to their advantage. This includes data and statistics on industry revenues by location.
The Competitive Forces chapter covers the concentration, barriers to entry and supplier and buyer profiles in the Employment & Recruiting Agencies industry in Canada. This includes data and statistics on industry market share concentration, barriers to entry, substitute products and buyer & supplier power.
Questions answered in this chapter include what impacts the industry's market share concentration, how do successful businesses handle concentration, what challenges do potential industry entrants face, how can potential entrants overcome barriers to entry, what are substitutes for industry services, how do successful businesses compete with substitutes and what power do buyers and suppliers have over the industry and how do successful businesses manage buyer & supplier power.
The Companies chapter covers Key Takeaways, Market Share and Companies in the Employment & Recruiting Agencies industry in Canada. This includes data and analysis on companies operating in the industry that hold a market share greater than 5%.
Questions answered in this chapter include what companies have a meaningful market share and how each company is performing.
The External Environment chapter covers Key Takeaways, External Drivers, Regulation & Policy and Assistance in the Employment & Recruiting Agencies industry in Canada. This includes data and statistics on factors impacting industry revenue such as economic indicators, regulation, policy and assistance programs.
Questions answered in this chapter include what demographic and macroeconomic factors impact the industry, what regulations impact the industry, what assistance is available to this industry.
The Financial Benchmarks chapter covers Key Takeaways, Cost Structure, Financial Ratios, Valuation Multiples and Key Ratios in the Employment & Recruiting Agencies industry in Canada. This includes financial data and statistics on industry performance including key cost inputs, profitability, key financial ratios and enterprise value multiples.
Questions answered in this chapter include what trends impact industry costs and how financial ratios have changed overtime.
The Industry Data chapter includes 10 years of historical data with 5 years of forecast data covering statistics like revenue, industry value add, establishments, enterprises, employment and wages in the Employment & Recruiting Agencies industry in Canada.
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The market size of the Employment & Recruiting Agencies industry in Canada is $11.4bn in 2026.
There are 5,736 businesses in the Employment & Recruiting Agencies industry in Canada, which has grown at a CAGR of 3.2 % between 2020 and 2025.
The Employment & Recruiting Agencies industry in Canada is unlikely to be materially impacted by import tariffs with imports accounting for a low share of industry revenue.
The Employment & Recruiting Agencies industry in Canada is unlikely to be materially impacted by export tariffs with exports accounting for a low share of industry revenue.
The market size of the Employment & Recruiting Agencies industry in Canada has been growing at a CAGR of 5.4 % between 2020 and 2025.
Over the next five years, the Employment & Recruiting Agencies industry in Canada is expected to grow.
The biggest companies operating in the Employment & Recruiting Agencies industry in Canada are Allegis, Adecco and Randstad NV
Operating casting agencies or bureaus and Providing executive placement and consulting services are part of the Employment & Recruiting Agencies industry in Canada.
The company holding the most market share in the Employment & Recruiting Agencies industry in Canada is Allegis.
The level of competition is high and increasing in the Employment & Recruiting Agencies industry in Canada.