Companies Need Workers Right Now, They Just Don’t Want to Hire Them Full-Time
Three forces are driving this at once. Trade uncertainty has companies reluctant to expand permanent payroll. AI uncertainty means employers don’t know what skill sets they’ll need in 18 months, let alone how many people. And the painful memory of 2022-2023 overhiring (and the layoffs that followed) has made full-time headcount commitments feel risky. As Lia Taniguchi, Research and Insights Director at Bullhorn, put it: “Employers don’t really know in 18 months how many people they’ll need, because they don’t know how AI may change their workforce needs, but they also don’t even know exactly what skillsets they’re going to need in two years.”
This is exactly what we’re seeing at 4 Corner Resources. Companies need work done, the demand is real, but they want the flexibility to adjust as conditions shift. Light industrial workers in manufacturing and warehousing are leading the temp recovery, and healthcare and professional services are close behind, according to the American Staffing Association.
For job seekers, this matters more than it might seem. Contract and temp work is often the most direct path into a company that you couldn’t crack through traditional hiring. The conversion from temp-to-hire is one of the most underused tools in recruiting, and the employers using it intentionally are getting better candidates than those waiting for someone to apply cold. Reach out to us – we can help you find the right fit, whether you’re a company that needs flexibility or a candidate who wants a foot in the door.
HR Confidence Just Hit Its Highest Point Since This Survey Began
The Conference Board’s Q1 2026 CHRO Confidence Index hit 59, the highest reading since the survey launched in Q1 2023, with 59% of chief HR officers expecting their company to increase hiring over the next six months. That’s up from 54% last quarter. All three components improved: hiring climbed to 63, engagement jumped to 60, and retention came in at 55.
The engagement number is the most striking movement. 53% of CHROs now expect engagement to rise over the next six months, up sharply from 43% last quarter. That’s a 10-point swing in a single quarter, and it aligns with what the ADP EMC data showed earlier this month: sentiment is starting to recover after a long slide.
The weak spot is retention, and it’s worth taking seriously. Only 34% of CHROs expect retention to improve, and 19% expect it to get worse. As Diana Scott of The Conference Board noted, when hiring picks up, employees who felt stuck suddenly have options. Companies that aren’t actively investing in their best people right now will lose them to competitors who are. That’s the real risk hiding underneath an otherwise positive confidence report.
Staffing your team doesn’t have to be hard.
Reach out and see how we can help.
A New Bill Would Ban Staffing Firms From the H-1B Program Entirely
Rep. Eli Crane (R-AZ) introduced the End H-1B Visa Abuse Act of 2026 on April 22, with seven Republican co-sponsors. The bill would pause all new H-1B visa issuance for three years, cut the annual cap from 65,000 to 25,000, and require a $200,000 minimum salary for any H-1B holder. For the staffing industry, the critical provision is a flat ban: staffing firms would be prohibited from employing H-1B workers at all. The bill would also end Optional Practical Training (the program that lets international students work in the U.S. after graduation), ban H-1B workers from bringing dependents, and block H-1B holders from adjusting to permanent residency.
In its current form, this bill is dead on arrival. It would face immediate opposition from universities, hospitals, technology companies, and business associations, and that coalition is too broad to ignore. But the direction of political pressure on H-1B is real, and it isn’t reversing. Combined with the immigration enforcement environment we covered last week, the cost and compliance calculus around H-1B has already shifted for every employer and staffing firm using the program.
The $200,000 salary floor is the provision worth watching most closely, even if the bill doesn’t pass. At that threshold, H-1B becomes effectively unavailable for entry and mid-level roles, which is most of the program. If even a modified version of that floor makes it into any legislation, it reshapes the talent pipeline for tech, healthcare, and engineering employers who’ve relied on the program. If you’re a staffing firm with H-1B workers placed, build the contingency plan now, not after the next bill moves through committee.
Frequently Asked Questions
Three forces are stacking up: trade uncertainty, AI uncertainty about what skills will matter in 12-18 months, and caution from the post-COVID overhiring correction. Temp and contract hiring lets companies get work done without a long-term commitment. Bullhorn data shows temp placements up 9.1% from February to March and 5.4% year-over-year.
The Conference Board surveys chief HR officers quarterly on their expectations for hiring, engagement, and retention over the next six months. A reading above 50 means more respondents are positive than negative. The Q1 2026 reading of 59 is the highest since the survey launched in Q1 2023.
It would ban staffing firms from employing H-1B workers entirely. The bill would also pause all new H-1B issuance for three years, cut the annual cap from 65,000 to 25,000, and require a $200,000 minimum salary. Most experts consider it unlikely to pass in its current form.
It’s one of the better options available. Many companies are open to temp and contract arrangements, even with full-time hiring frozen. Temp-to-hire is one of the most effective ways to get inside a company that isn’t actively recruiting, and placements are at their highest level since August 2025.
