How Much Does Labor Placement Cost?

Compare typical US labor placement fees, what changes the final cost, and how to evaluate quotes from staffing providers.

$15 - $30 per hourtypical range
Labor placement commonly costs an employer about 15% to 30% of a placed worker's first-year pay, or an hourly markup for temporary staff. A short-term general labor assignment may add $5 - $15 per worker per hour, while a specialized permanent search can cost $10,000 - $30,000 or more.
Updated Oct 2026

Common jobs and what they cost

JobWhat it involvesTypical range
General labor temp placementWarehouse, event, or moving staff$5 - $15 per hour markup
Office or administrative tempClerical and customer support staff$8 - $20 per hour markup
Permanent entry-level placementRecruiting and candidate screening$3,000 - $10,000
Specialized permanent placementTechnical, managerial, or licensed talent$10,000 - $30,000+

Ranges are typical, not quotes - the price for your job depends on scope and location, so always confirm with the provider.

What moves the price

Temporary staffing prices combine the worker's pay with the agency's markup, payroll administration, insurance, recruiting, and sometimes benefits. Permanent placements are more often priced as a percentage of first-year compensation, so higher salaries increase the fee.

Specialized skills, urgent hiring, difficult shifts, background checks, licensing requirements, and scarce local talent can raise costs. Assignment length, conversion terms, volume hiring, and the city or industry also affect the quote.

How to keep the cost down

Give the provider a precise job description, schedule, pay range, start date, and screening requirements so the first quote is usable. Compare the markup, replacement policy, conversion fee, payroll services, overtime rules, and included checks rather than comparing one headline number.

For recurring hiring, ask about volume pricing and use a clear trial period before committing to a permanent conversion. A recognized provider on Reedleys has verified identity and a traceable track record, which matters more as the job price grows.

Price questions, answered

Do labor placement agencies require a deposit?

Some require payment when a worker starts, while others invoice weekly or after a successful permanent hire. Ask when billing begins and whether there are minimum hours or cancellation charges.

Why do labor placement quotes differ so much?

Quotes may include different combinations of recruiting, payroll, insurance, benefits, testing, supervision, and replacement coverage. Confirm exactly what the markup or placement fee includes.

Can a temporary worker become a permanent employee?

Usually, but the staffing agreement may include a conversion fee, minimum assignment period, or reduced fee after enough hours are completed. Get those terms in writing before extending an offer.

Recognized Labor Placement businesses

Staffline

Memphis employment agency providing temporary staffing for warehousing and light industrial work.

Professional Services Memphis, United States
Ascend Staffing

A Tucson staffing agency connecting job seekers with employment opportunities and businesses with talent.

Professional Services Tucson, United States
Partners Personnel

Staffing agency connecting job seekers with employers in Fresno.

Professional Services Fresno, United States
Staffmark

Kansas City employment agency connecting job seekers with jobs and providing workforce solutions for employers.

Professional Services Kansas City, United States
Key Personnel

Staffing agency placing clerical, industrial, medical, and professional workers in Oklahoma.

Professional Services Tulsa, United States
Strive Staffing

Minneapolis staffing agency providing job matching, temporary work, and employer workforce services.

Professional Services Minneapolis, United States
Partners Personnel

An Anaheim employment agency connecting job seekers with employers across multiple industries.

Professional Services Anaheim, United States
PeopleReady

An employment agency connecting businesses with temporary workers and job seekers with flexible hourly jobs.

Professional Services Lexington, United States
Direct Staffing

Riverside employment agency offering temporary and direct-hire staffing for employers and job seekers.

Professional Services Riverside, United States
Downtown Community Job Center

A Los Angeles community job center that connects day laborers and domestic workers with jobs.

Professional Services Los Angeles, United States
See all Labor Placement businesses →

Labor Placement prices by city