A fifth of all employment agencies are at serious risk of
failure even if the anticipated recession is only short down turn, according to
A study by analysts Plimsoll Publishing shows that 770 out
of the 2,095 companies in the industry are at high risk of failure, with 428
receiving a “danger” rating.
“If the economy does tighten up in the second half of the
year, many of these companies already under pressure from normal business
hazards will fail,” said Don Turkington, managing director of Plimsoll.
The study also gave 845 companies “strong” or “good”
ratings, suggesting that would be likely to survive a recession.