Overall, IT staffing gross margins have seen a decline over the past 19-years and have been range-bound since 2012. However, digital transformation taking place in the COVID era has led to a higher gross margin in the last two years. Our Staffing Industry Benchmarking Consortium (SIBC) survey shows the aggregate gross margin for US IT temporary staffing expanded 705 bps over our 13-year tracking period, reaching 25.6% in 2021. IT services still offers a higher gross margin than IT staffing, but that advantage is diminishing as the difference (IT services gross margin – IT staffing gross margin) has declined from 836 bps in 2018 to 435 bps in 2022.
Do you want to know the average gross margins of 10 publicly traded staffing companies worldwide that do business in the IT staffing segment? Among these companies, 2022 gross margins ranged from 10.2% to 39.8%, with an average of 24.3%. Interestingly, average gross margins in this dataset of public staffing firm results have contracted over the 19-year tracking period by 316 basis points from 2004 (27.4%) to 2022 (24.3%). Additionally, in 2022, there was a 5% increase in median spread among US IT staffing firms (+