Human resource solutions? : Dimensions of employers' use of temporary agency labour in the UK

Purpose – The article seeks to explain the rapid increase in the use of agency “temps” by employers during the 1990s. It tests the thesis of profound change in employers' labour use decisions. Design/methodology/approach – The data was from in‐depth interviews with human resource/line managers in 12 work organisations in the UK responsible for decisions on use of temporary agency labour. Organisations were chosen to include a variety of industrial sectors, sizes and locations. Findings – Although there were common trends in organisations, including declining numbers of permanent jobs and waves of restructuring, organisations varied in their approach: it was not always profound change. The paper finds four distinct types of agency labour use and developed a 2 × 2 typology, depending on whether employers were acting strategically or reactively, and whether they were using temps for supplementation, or more far‐reaching substitution, for permanent workers. Research limitations/implications – Research is based on UK data and is a “snapshot” of the situation. However, the typology can be used to analyse temporary agency labour usage in other settings and time periods. Practical implications – The findings could be used by human resource managers to assist them in making decisions on use of agency workers. Originality/value – The paper makes associations between external and internal contexts within which organisations operate and how these affect decisions on temporary agency labour usage.