Staffing agencies in Pittsburgh: 370 offices, Pennsylvania's checks and what a placement guarantee is worth

Pittsburgh has more executive search offices than placement agencies, and most are one- to four-person boutiques. When you pay a direct hire fee, the guarantee terms decide what a bad hire costs you, so read them as closely as the fee.

Market report6 min readPublished

The Pittsburgh metro had 370 staffing agency establishments in 2023, employing 12,006 people on a $604.2 million payroll (Census County Business Patterns): 276 temporary help offices, 56 executive search offices and 38 placement agencies, with 256 in Allegheny County. Pennsylvania licenses private employment agencies under its Employment Agency Law, and publishes weekly lists of employers with unpaid labor, unemployment or workers' compensation obligations. Check both before you sign.

  • 370 staffing establishments in the Pittsburgh metro employ 12,006 people; temp help offices account for 11,077.
  • 56 executive search offices outnumber 38 placement agencies, and 43 of the search offices have fewer than 5 employees.
  • Westmoreland County's 27 temp offices average about 67 employees each, against 38 in Allegheny County.
  • Pennsylvania's Department of Labor and Industry updates its non-compliance lists every Tuesday, in PDF and Excel.
  • In the worked example, the same $12,400 fee costs $12,400 or $6,200 depending on the guarantee.
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This report is for Pittsburgh-area employers using an agency or search firm, job seekers comparing them, and B2B sellers whose customers are staffing and recruiting firms.

Pittsburgh staffing agencies by the numbers

Source: US Census Bureau, County Business Patterns 2023, Pittsburgh, PA Metro Area (CBSA 38300), NAICS 56131 (Employment Placement Agencies and Executive Search Services) and NAICS 56132 (Temporary Help Services).

Measure (2023)Pittsburgh metro
Establishments370
Employees (week of March 12)12,006
Annual payroll$604,193,000
Average employees per establishment32.4
Average annual pay$50,324
Share of US establishments0.71% of 51,830

More search firms than placement agencies

Industry (2023)EstablishmentsEmployeesAnnual payroll
Temporary help services (56132)27611,077$540,253,000
Executive search services (561312)56247$26,280,000
Employment placement agencies (561311)38682$37,660,000

Temp agencies are the legal employers of the people they place, so the 11,077 in temp help include workers on assignment at Pittsburgh hospitals, plants and offices, about 40 per temp office. Search and placement firms are recruiting businesses whose placements join the client's payroll, which is why 56 search offices count only 247 people. Of those 56, 43 have fewer than 5 employees: if you hire a senior role here, you're often choosing between partner-led boutiques. Payroll per search employee is about $106,000.

Where they are

CountyEstablishmentsEmployees
Allegheny County, Pennsylvania2567,907
Westmoreland County, Pennsylvania371,856
Butler County, Pennsylvania30Not reported (high-noise figure)
Washington County, Pennsylvania27653
Beaver County, Pennsylvania11Not reported (high-noise figure)

"Not reported" means the Census Bureau published the figure but flagged it as high-noise: the confidentiality noise changed it by 5% or more. Allegheny County has 69% of the offices and 37 of the 56 search firms. The temp branches outside it run larger: Westmoreland's 27 temp offices report 1,796 employees, about 67 each, against about 38 in Allegheny's 191.

How big they are

Employees per establishmentEstablishments
1 to 4162
5 to 930
10 to 1940
20 to 4962
50 to 9942
100 to 249Not published
250 to 499Not published
500 to 999Not published
1,000 or moreNot published

In broader bands, 232 establishments have 1 to 19 employees, 104 have 20 to 99 and 34 have 100 or more. The last is derived as the total less the smaller bands, because the Census Bureau doesn't publish the top classes for the two codes combined; the temp rows show 29 temp offices with 100 to 249 employees and 3 with 250 to 499.

These counts are establishments with paid employees, not companies, and leave out self-employed recruiters. Professional employer organizations (NAICS 56133, 14 more establishments) are counted separately.

Pennsylvania checks

CheckWhat it isHow to use it
Employment agency licensePennsylvania's Employment Agency Law of 1941 (43 P.S. sections 535 to 581) licenses private employment agencies. The department's rules (34 Pa. Code Chapter 9, Subchapter B) set license criteria, require a bond for each license, and limit a "temporary fee" for a job of 10 weeks or less to 10% of the first ten weeks' earnings.If an agency charges you, the job seeker, a fee, ask for its license and fee schedule.
Non-compliance listsThe Department of Labor and Industry publishes three lists: employers with unemployment tax liens, organizations that haven't paid back wages or fines under state labor laws, and employers lacking required workers' compensation insurance or owing the state's uninsured employers fund. They're updated every Tuesday.Search the agency's legal name on all three before you sign.
Minimum wage$7.25 an hour, the federal ratePay is set by the market; compare it with what your own staff earn.

Worked example: what the guarantee is worth

Illustrative example. The company, salary, fee and terms are invented to show the arithmetic.

Three Rivers Health Billing (threerivers.example) hires a medical coding supervisor through a direct hire firm at a $62,000 salary. The fee is 20%: $12,400. The new hire resigns on day 45. Here's what the fee ends up costing under three common guarantee terms:

Guarantee in the contractWhat happens on day 45Net cost of the fee
90-day replacement onlyThe firm runs a replacement search; no money back$12,400, plus the time to hire again
90-day prorated refundRefund of $12,400 × 45 ÷ 90 = $6,200$6,200
Fee paid in halves, at start and at day 60The second $6,200 never falls due$6,200

A replacement guarantee is only worth something if the firm can refill the role quickly; for a hard-to-fill role, a refund or a split payment protects you better. Ask, too, whether the guarantee is voided if you change the role or the pay.

How to shortlist an agency in Pittsburgh

  1. Pick the type: temp or temp-to-hire for operations and clerical roles, direct hire for permanent staff, retained or contingency search for senior roles.
  2. Build a long list from ClearlyRated's Pittsburgh listings and the ASA member directory, filtered by job field.
  3. Run the Pennsylvania checks above: the non-compliance lists for every agency, the license for any that charges job seekers.
  4. Compare terms side by side: for temps, pay rate, markup and conversion fee; for direct hire, the fee, payment schedule and guarantee.
  5. Call two references who hired for similar roles in the last year.

Job seekers and employers can also use Partner4Work, the Pittsburgh area's workforce development organization, for hiring programs and training.

Selling to Pittsburgh staffing agencies

SegmentCountWhat they buyWho decides
Larger temp branches (100 or more employees)34 establishments, at least 32 of them tempTimekeeping, screening, safety training, workers' compensationRegional operations or risk
Mid-sized temp and placement offices (20 to 99)104Recruiting ads, applicant tracking, payrollBranch manager with the owner
Search boutiques56Candidate research data, assessments, reference and credential checksThe managing partner

The guarantee is a seller's opening too: every refund or free replacement is margin a placement firm loses, so tools that cut early attrition (better screening, credential checks, onboarding support) speak to the owner's numbers. Bebop finds firms that match a description and builds a playbook for each: who to contact, what's happening at the firm and the objections to expect. For method, see how to build a prospect list, and for the region's employers, tech companies in Pittsburgh.

Email to a direct hire firm owner
Subject: Fewer free replacements at [firm]

Hi [first name],

I saw [firm] is recruiting [role] and [role] for Pittsburgh clients this month.

On a 20% fee, one hire who leaves inside the guarantee can wipe out the margin on two others. We verify credentials and employment history before the offer, in [time], so the surprises surface before your guarantee clock starts.

Would a test on your next finalist be useful?

[Your name]

Local sources

SourceWhat it gives you
L&I non-compliance listsUnemployment, labor law and workers' compensation lists, updated Tuesdays
34 Pa. Code Chapter 9The private employment agency rules
Partner4WorkThe Pittsburgh area's workforce development organization
Pittsburgh Regional AllianceRegional economic development, for company expansions
ClearlyRated: Pittsburgh staffingAgencies with client and job seeker ratings
ASA member directoryAssociation members by location and job field

Next step: see the wider local economy in companies in Pittsburgh.

Sources

Written by the Bebop team at Blackpearl Group. Published .

Questions people ask

How many staffing agencies are there in Pittsburgh?

Census County Business Patterns counted 370 staffing agency establishments in the Pittsburgh metro area in 2023, employing 12,006 people: 276 temporary help offices, 56 executive search offices and 38 employment placement agencies. Allegheny County had 256 of them. The figures count locations with paid employees, so national firms count once per branch and self-employed recruiters aren't included.

Do staffing agencies need a license in Pennsylvania?

Pennsylvania licenses private employment agencies under its Employment Agency Law of 1941, with rules in 34 Pa. Code Chapter 9 covering license criteria, bonds and fees charged to applicants, including a cap on fees for jobs lasting 10 weeks or less. If an agency charges you a fee as a job seeker, ask for its license and fee schedule. For any agency, check the state's non-compliance lists too.

How do I check if a Pittsburgh staffing agency is legitimate?

Search its legal name on the Pennsylvania Department of Labor and Industry's three non-compliance lists, which show employers with unemployment tax liens, unpaid labor law obligations or missing workers' compensation insurance, updated each Tuesday. Then ask for insurance certificates, read client and job seeker reviews, and call two references. If it charges job seekers a fee, ask for its employment agency license.

What is a direct hire guarantee?

It's the promise a placement firm makes if a new hire leaves within a set period after starting. Some firms only replace the candidate, some refund part of the fee in proportion to the time worked, and some split the fee into payments that stop if the hire leaves. In an illustrative example, a $12,400 fee cost $12,400 or $6,200 depending on those terms.

Are executive search firms common in Pittsburgh?

Yes, relative to placement agencies. Census data counted 56 executive search offices in the Pittsburgh metro in 2023 against 38 employment placement agencies, and 43 of the search offices had fewer than five employees. Together they employed 247 people with about $106,000 in payroll per employee. Most are in Allegheny County, which had 37 of the 56.

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