Staffing agencies in Utah: 423 locations, very large temp payrolls and a state built for PEOs

Utah's staffing agencies average 85 employees per location, almost double Connecticut's 43, and the state's PEOs employ two and a half times as many people again. If you're choosing between an agency and a PEO here, you have unusually many of both.

Market report6 min readPublished

Utah had 423 staffing agency establishments in 2023, employing 35,775 people on a $1.85 billion payroll (Census County Business Patterns): 319 temporary help locations, 65 placement agencies and 39 executive search offices, 219 of them in Salt Lake County. To choose one, decide whether you need recruiting (a temp or placement agency), payrolling for people you've found, or a PEO, which must hold a Utah Insurance Department licence, then compare insurance, pay rate and markup.

  • 423 staffing establishments in Utah employ 35,775 people; temp help locations account for 33,956 of them.
  • 28 temp help establishments with no fixed county report 15,421 employees, 43% of the state's staffing headcount.
  • Six Utah temp help locations have 500 or more employees, three of them 1,000 or more.
  • Utah PEOs, a separate Census code, report 110 locations and 89,502 employees, and must be licensed by the Insurance Department.
  • For 1,000 hours at $30.00, full temp costs $43,500 in the example, payrolling $36,000 and a PEO about $34,500.
On this page

This report is for Utah employers deciding between an agency, payrolling and a PEO, job seekers, and B2B sellers whose customers are staffing firms.

Utah's staffing market in Census data

Source: US Census Bureau, County Business Patterns 2023, for Utah, counting NAICS 56131 (Employment Placement Agencies and Executive Search Services) and NAICS 56132 (Temporary Help Services).

Measure (2023)Utah
Establishments423
Employees (week of March 12)35,775
Annual payroll$1,847,770,000
Employees per establishment84.6
Average annual pay$51,650
Share of US staffing establishments0.82% of 51,830
Rank among states by establishments32nd
Industry (2023)EstablishmentsEmployeesAnnual payrollAverage pay
Temporary help services (NAICS 561320)31933,956$1,683,363,000$49,575
Employment placement agencies (NAICS 561311)651,749$158,501,000$90,624
Executive search services (NAICS 561312)3970$5,906,000$84,371

The split is from the Census Bureau's 2023 state file. Temp help holds 95% of the employees, and the reason is the business model: a temp agency is the employer of the people it places, so Census counts them on its payroll. Its definition says the workers supplied to clients "are employees of the temporary help services establishment." Placement agencies count only their recruiters, which is why their 65 offices average 27 people, and why their average pay, $90,624, is so much higher. Executive search is tiny here: 39 offices, 36 of them with fewer than five employees.

Size and where they are

Employees per establishmentAll staffingTemp help only
1 to 4171104
5 to 94129
10 to 193729
20 to 495446
50 to 995448
100 to 249Not published41
250 to 499Not published16
500 to 999Not published3
1,000 or moreNot published3

For the two codes combined, 66 locations have 100 or more employees; that figure is the total less the smaller published bands. The temp help classes, published in full, account for 63 of them, including three with 1,000 or more employees.

County (2023)EstablishmentsEmployees
Salt Lake County21911,274
Utah County703,383
Davis County321,073
Statewide (no fixed county)2815,421
Weber County14Not reported (high-noise figure)
Washington County13578
Cache County9525

The county rows come from the county file, which places 398 of the 423 establishments; the rest are in counties the Census Bureau doesn't publish separately for this industry. "Not reported (high-noise figure)" means the number was published but flagged as changed by 5% or more by the noise added for confidentiality. The statewide line, for employers without a fixed location in the state, is the striking one: 28 temp help establishments with 15,421 employees, about 550 each, more than Salt Lake County's 219 locations combined.

Limits. These are establishments with paid employees, not companies; a firm's five branches count five times and recruiters working alone aren't included. Employment is the week of March 12, 2023. And PEOs aren't in these totals: Census counts them under NAICS 561330, where Utah has 110 locations with 89,502 employees and $4,739,399,000 in payroll, including 23 locations with 1,000 or more employees.

Agency, payrolling or PEO

OptionWho finds the workerWho employs themBest for
Temp or contract agencyThe agencyThe agencyPeaks, cover and roles you can't fill yourself
Temp-to-hireThe agencyThe agency, then youA trial before you hire
PayrollingYouThe agencyPeople you've recruited but don't want on your payroll yet
Direct hire or searchThe agencyYouPermanent and senior roles
PEOYouYou and the PEO jointlyOutsourcing payroll, benefits and HR for your whole staff

Utah regulates the last one closely. The Utah Insurance Department licenses PEOs under Utah Code 31A-40, the Professional Employer Organization Licensing Act, and Rule R590-250. It issues three kinds of licence: one for PEOs certified through an approved assurance organization, one for those that aren't, and a small operation licence for PEOs with no Utah office, no clients with a Utah office and no more than 50 employees in the state. Its current list of licensed PEOs, dated April 2026, runs to seven pages and more than 400 entity names, many of them affiliates of the same national groups. Check a PEO's exact legal entity against it before you sign.

We found no Utah licence or registry for temp, placement or search agencies. The US Department of Labor lists Utah's minimum wage at $7.25, the federal rate.

Worked example: three ways to employ the same contractor

Illustrative example. The company and every rate are invented, including the 12% employer cost and the 3% PEO fee.

Wasatch Data (wasatchdata.example) in Lehi has found a data engineer it wants for about six months, 1,000 hours at $30.00 an hour.

OptionHow it's pricedCost for 1,000 hours
Full temp: the agency recruits and employs$30.00 pay plus a 45% markup: $43.50 an hour$43,500
Payrolling: you recruit, the agency employs$30.00 pay plus a 20% markup: $36.00 an hour$36,000
PEO: you employ, the PEO co-employs$30,000 wages, plus 12% employer taxes and insurance ($3,600), plus a 3% PEO fee ($900)$34,500

Payrolling saves $7,500 against full temp because Wasatch did the recruiting. A PEO is cheaper again, but it's built for a company's whole workforce, with benefits and HR, not a single contractor, and Wasatch would carry the employer's obligations jointly with it. The right answer depends on who found the worker and how long you'll keep them.

For job seekers

Utah's temp jobs are concentrated in large employers: six temp help locations have 500 or more employees, and 28 statewide establishments carry 15,421. Register with agencies that place people in your field, ask whether a job is temp, temp-to-hire or payrolled, and if you're hired through a PEO, ask which company is your employer for pay and which for benefits.

Selling to Utah staffing firms

  • Large temp branches and statewide operations. The 63 temp help locations with 100 or more employees, plus the statewide establishments, buy timekeeping, screening, payroll, workers' compensation and onboarding at scale. Operations and finance leaders decide; national firms buy centrally.
  • Placement agencies. 65 offices with well-paid recruiters buy candidate data, job advertising and applicant tracking; the owner or head of recruiting decides.
  • PEOs. Not staffing agencies, but often sold to the same way: 110 locations, some with thousands of co-employed workers, buying benefits, payroll tax and HR technology.

Start with the Salt Lake Chamber's member directory and the American Staffing Association directory for Utah, and the Insurance Department's list for PEOs. Describe the firms you want to Bebop, temp branches or PEOs, and it returns matching companies and contacts with the reason each fits. For the employers behind the demand, see tech companies in Utah.

Email to a large temp branch's operations lead
Subject: Clock-ins across [agency]'s [number] client sites

Hi [first name],

I saw [agency] is staffing [role] at sites from [town] to [town]. When temps work across that many sites, missed and disputed punches usually land on your payroll team on Monday.

We record clock-ins by site location and send exceptions to the branch the same day, before they reach payroll.

Would it help to compare last month's corrections with what we'd have caught?

[Your name]

Sources

SourceWhat it gives you
Utah Insurance Department: PEOsPEO licence types, rules and applications
Current list of licensed PEOsEvery licensed PEO entity
Salt Lake Chamber member directoryThe statewide chamber's members
EDCUtahStatewide economic development and research
ASA member directoryStaffing firms by state and job field
US Department of Labor: state minimum wagesUtah's minimum wage

Next step: see the state's wider employer base in the report on companies in Utah.

Sources

Written by the Bebop team at Blackpearl Group. Published .

Questions people ask

How many staffing agencies are in Utah?

Census County Business Patterns counted 423 staffing agency establishments in Utah in 2023, 32nd among the states, employing 35,775 people: 319 temporary help locations, 65 employment placement agencies and 39 executive search offices. Salt Lake County had 219 and Utah County 70. The count is of locations with paid employees, so a firm counts once per branch and recruiters working alone aren't included.

Do PEOs need a license in Utah?

Yes. The Utah Insurance Department licenses professional employer organizations under Utah Code 31A-40, the Professional Employer Organization Licensing Act. There are three licence types: for PEOs certified through an approved assurance organization, for those that aren't, and a small operation licence for PEOs with no Utah office and no more than 50 employees in the state. The department publishes a current list of licensed PEOs.

What is payrolling in staffing?

Payrolling is when you recruit a worker yourself and a staffing agency puts them on its payroll, handling wages, taxes and insurance, usually at a lower markup than full temp because it didn't recruit them. In an illustrative Utah example for 1,000 hours at $30.00, full temp at a 45% markup cost $43,500 and payrolling at 20% cost $36,000.

Why do Utah staffing agencies have so many employees?

Temp agencies employ the people they place, so their temps count as their employees in Census data. Utah's 319 temp help locations reported 33,956 employees in 2023, and 28 temp help establishments with no fixed county reported 15,421 of those, about 550 each; Census classes employers without a fixed location in the state as statewide. Six temp help locations had 500 or more employees.

Is a PEO the same as a staffing agency?

No. A staffing agency recruits workers and employs them while they work at your site, or recruits them onto your payroll. A PEO co-employs people you've already hired, taking on payroll, taxes, benefits and HR administration. Census counts them separately: Utah had 423 staffing establishments and 110 PEO establishments in 2023, and its PEOs reported 89,502 employees.

Find the Utah staffing firms that fit your offer

Temp branches or PEOs: describe the Utah firms you sell to, and Bebop finds matches and explains why each fits.

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