Staffing agencies in Salt Lake City: the market, Utah's PEO rules and when payrolling beats recruiting

Almost every staffing agency in the Salt Lake City metro sits in Salt Lake County, and pay at its temp help firms averages $57,531, well above the $48,635 for temp help nationally. If you've already found the person you want, you may not need an agency's recruiters at all, only its payroll.

Market report6 min readPublished

The Salt Lake City metro area had 222 staffing agency establishments in 2023, employing 11,369 people on a partly high-noise $731 million payroll (Census County Business Patterns): 169 temporary help locations and 53 placement or executive search offices, with 219 in Salt Lake County. To choose an agency, decide whether you need recruiting or only payrolling, confirm workers' compensation and liability coverage, compare quotes on pay rate and markup separately, and read client and worker reviews.

  • 222 staffing establishments in the Salt Lake City metro employ 11,369 people; 10,421 of them are on temporary help payrolls.
  • Temp help pays an average of $57,531 a year here; the metro's staffing average is about $64,321 (partly high-noise payroll).
  • 30 establishments have 100 or more employees, 28 of them temp help locations.
  • PEOs need a license from the Utah Insurance Department, whose current list names more than 400 PEO entities.
  • In the worked example, payrolling a worker you found yourself saves $6,000 over 1,000 hours.
On this page

For: Salt Lake City employers choosing an agency, job seekers comparing agencies, and B2B sellers whose customers are staffing firms.

Salt Lake City staffing agencies in Census data

The figures cover the Salt Lake City-Murray, UT Metro Area (CBSA 41620) and two industry codes: NAICS 56131 (Employment Placement Agencies and Executive Search Services) and NAICS 56132 (Temporary Help Services). Source: US Census Bureau, County Business Patterns 2023.

Measure (2023)Salt Lake City metro
Establishments222
Employees (week of March 12)11,369
Annual payroll$731,265,000 (includes a high-noise figure)
Average employees per establishment51.2
Average annual pay$64,321 (from payroll that includes a high-noise figure)
Share of US establishments0.43% of 51,830
Industry (2023)EstablishmentsEmployeesAnnual payrollAverage annual pay
Temporary help services (56132)16910,421$599,531,000$57,531
Placement and executive search (56131)53948Not reported (high-noise figure)Not reported

Both rows are from the County Business Patterns metro file. The temp help figures carry a moderate-noise flag (changed by 2% to 5% for confidentiality). The placement and search payroll carries the high-noise flag (changed by 5% or more), so it isn't shown, and the metro payroll and average pay above, which include it, are less exact than usual.

Why the payroll counts temps, not recruiters

The Census Bureau's definition of temporary help services says the workers supplied "are employees of the temporary help services establishment." So the 10,421 people in temp help are mostly temps on assignment at client sites, from warehouses to offices, plus branch staff. Placement and search firms place candidates onto the client's payroll, so their 53 offices count only their own 948 staff. Temp help averages 62 employees per location; placement and search average 18.

Size and where they are

Employees per establishmentAll staffingTemp help only
1 to 48756
5 to 92618
10 to 192016
20 to 492723
50 to 993228
100 to 249Not published20
250 to 499Not published6
500 or moreNot published2 (derived)

In broader bands, 133 establishments have 1 to 19 employees, 59 have 20 to 99 and 30 have 100 or more. Because the 100-plus classes are unpublished when the two codes are combined, that 30 is derived by subtracting the smaller bands from the total; for temp help, the two locations with 500 or more are the total less the published classes.

Salt Lake County has 219 of the 222 establishments and 11,274 of the 11,369 employees. The metro's other county, Tooele, has no staffing row in the Census county file; the county and metro files are tabulated separately, which accounts for the small gap.

The limits: County Business Patterns counts establishments with paid employees, not companies, so national brands count once per branch; self-employed recruiters aren't included; employment is the week of March 12, 2023; and professional employer organizations (NAICS 561330: 30 locations and 2,683 employees here) are counted separately. SEC EDGAR lists no publicly traded staffing company with a business address in Salt Lake or Tooele County.

Recruiting, payrolling or a PEO?

You haveYou needWhat to buy
Open shifts and no candidatesPeople found, screened and employed for youTemp or temp-to-hire staffing, full markup
A candidate you found yourself, but no budget line to hireSomeone to employ and pay themPayrolling, at a lower markup
A permanent role to fillA recruiter paid on successDirect hire placement or search
Your own staff, but no HR teamPayroll, benefits and complianceA PEO, licensed in Utah

Utah rules to check

PEOs are licensed. Utah regulates professional employer organizations under Title 31A, Chapter 40 of the Utah Code and Rule R590-250, through the Utah Insurance Department. Licenses renew annually. The department's current list (April 2026) names more than 400 PEO entities, many of them affiliates of national PEOs; ADP TotalSource alone has 18 entries. A temp agency that only supplies temps isn't a PEO, so if a firm proposes to co-employ your existing staff, find its name on that list.

Pay floor. Utah's minimum wage is $7.25, the federal rate, according to the US Department of Labor. Market pay for temps is far above that, so compare quotes with what your own staff earn.

Insurance. Ask for the agency's workers' compensation and general liability certificates naming your company before anyone starts.

Worked example: payrolling a worker you already found

Illustrative example. The company, rates and markups are invented to show the arithmetic.

Wasatch Trail Outfitters (wasatchtrail.example) has a seasonal e-commerce coordinator lined up for 1,000 hours, paid $24.00 an hour, but no approved headcount. It asks two agencies to employ her.

OptionMarkupBill rateCost for 1,000 hours
Full-service temp (the agency recruits)45%$34.80$34,800
Payrolling (you recruit, the agency employs)20%$28.80$28,800
Saving$6,000

The payrolling markup still has to cover the employer's payroll taxes, workers' compensation and the agency's margin, so a quote far below 20% deserves questions. And payrolling only makes sense when you've done the recruiting: if the candidate falls through, a payroll-only agency won't find you another.

How to choose a Salt Lake City agency

  1. Decide what you're buying: recruiting, payrolling, permanent placement or HR outsourcing.
  2. Shortlist by specialty from the American Staffing Association directory and ClearlyRated's Salt Lake City listings.
  3. Get insurance certificates, and for any PEO, its Utah license.
  4. Get the quote as pay rate plus markup, with overtime and conversion terms.
  5. Read worker reviews too: an agency its temps rate poorly will struggle to fill your shifts.

For job seekers: reputable agencies are paid by the employer and don't charge you to find work. The Federal Trade Commission advises walking away from any placement firm that asks for a fee.

Selling to Salt Lake City staffing agencies

Nearly the whole market is in one county, which makes territory planning simple. The 30 establishments with 100 or more employees, 28 of them temp branches, buy screening, onboarding, scheduling and payroll tools, and they're where national brands concentrate. The 87 offices with fewer than five people are owner-run recruiters and buy candidate sourcing, job advertising and applicant tracking. Agencies offering payrolling compete on price, so they respond to anything that cuts the cost of onboarding each worker.

Who to contactWhere
OwnerThe 133 locations with 1 to 19 employees
Branch managerMid-size branches (59 with 20 to 99 employees)
Regional operations or recruiting leadershipThe 30 large branches and national firms

Sort the list by reading job postings: a branch posting warehouse shifts in the west valley and a boutique placing accountants downtown need different things. At volume, that sorting is the slow part; Bebop researches each agency and suggests an angle. The guide to building a prospect list walks through the steps.

Email to a Salt Lake City staffing owner
Subject: Filling [role] shifts by text

Hi [first name],

[Agency] has [number] open [role] shifts posted for Salt Lake County this week.

Most of the people you'd call for those shifts answer texts faster than calls. Our platform texts your available workers the shift details and books the first ones who reply, and the shift shows up in your scheduling system.

Would a two-week trial on your next batch of shifts be useful?

[Your name]

Local sources

SourceWhat it gives you
Utah Insurance Department: PEOsPEO licensing and the current list of licensed PEOs
ClearlyRated: Salt Lake City staffingAgencies with client and talent ratings
ASA member directoryAmerican Staffing Association members by location and job type
Salt Lake ChamberThe state's largest business association and its member directory
Economic Development Corporation of UtahStatewide economic development and company expansions
Salt Lake County economic developmentCounty programs and business resources
World Trade Center UtahInternational business support

Next step: compare a smaller, government and university market in the report on staffing agencies in Madison.

Sources

Written by the Bebop team at Blackpearl Group. Published .

Questions people ask

How many staffing agencies are in Salt Lake City?

Census County Business Patterns counted 222 staffing agency establishments in the Salt Lake City-Murray metro area in 2023, employing 11,369 people: 169 temporary help locations and 53 placement or executive search offices. Salt Lake County had 219 of them. Branches are counted separately and recruiters with no employees are excluded, so the number of distinct firms is lower.

What is payrolling, and when should I use it?

Payrolling is when a staffing agency employs and pays a worker you recruited yourself, usually at a lower markup than when it does the recruiting. In an illustrative example, a $24.00 an hour worker cost $28.80 an hour payrolled at a 20% markup against $34.80 at a 45% full-service markup, saving $6,000 over 1,000 hours. Use it when you have the candidate but not the headcount.

Do PEOs need a license in Utah?

Yes. The Utah Insurance Department licenses professional employer organizations under Utah Code Title 31A, Chapter 40 and Rule R590-250, with annual renewal. Its current list, dated April 2026, names more than 400 PEO entities. A staffing agency that only supplies temporary workers isn't a PEO; check the list if a firm proposes to co-employ your existing staff.

How much do temp workers earn in Salt Lake City?

Census County Business Patterns puts average annual pay at Salt Lake City temp help establishments at $57,531 in 2023: $599.5 million in payroll across 10,421 employees in March. That average includes branch staff and temps who worked only part of the year, so it's a guide to the market rather than an hourly rate. Ask agencies for the pay rate on each order.

Find the Salt Lake City agencies that fit your offer

Describe the staffing firms you sell to. Bebop finds matching agencies, explains why each fits and drafts the first email.

Edit the search to match your market. Already have an account? Log in