ROSY IN FIELD OF PINK SLIPS TEMP FIRMS FLOURISH AS MOST INDUSTRIES SHRINK.

Byline: Brent Hopkins Staff Writer

Soaring layoff notices spelled bad news for a number of companies, but they've proved a boon to the temp business.

Outplacement firm Challenger, Gray & Christmas reported Monday that 146,399 employees nationwide were issued layoff notices in April, a staggering 71 percent increase from March. The news dashed hopes that a quick end to the war in Iraq would bring about a speedy economic revival.

``The condition that the world is in is still very unstable,'' said John Challenger, chief executive officer of the Chicago-based firm. ``That's making it difficult for the global economy to pick up and to jump-start the U.S. economy, too. It's in a recession. We've lost 525,000 jobs in the last three months, and that jumped up again last month.''

But while managers at so many companies have been reaching for their pink slips, they've also had temporary-staffing companies on speed dial. Temp agencies across the area reported heavy demand for short-term workers as their clients look for ways to augment pared-down staffs without incurring heavy hiring costs or long-term commitments.

``In the last month, we had our highest level of activity for the year,'' said John Ipjian, executive vice president for Stivers Staffing Services, whose four county offices place an average 100 workers per week. ``Overall, there's an upturn. ... There's no place to go but up, so general optimism is pushing businesses to move forward.''

In Los Angeles County, the Employment Development Department reports temps held 112,200 jobs in March - the latest available statistics - up from 111,700 a year before.

``When people are given notices they may be laid off, they sometimes take a bailout because of a good package,'' said Arthur Ochoa, senior stagging manager for the Woodland Hills-based Abacus Staffing. ``The company needs a temp while that position's still needed, so I've seen some increases.''

Ochoa handles accounting and financial-services temps, placing one every other day for the past two months. Firms like his, the temps' actual employer, pick up insurance, workers' compensation, taxes and disability costs, and they usually supply the workers at lower cost than their resumes would normally demand.

Joe Goldberg, president of West Hills-based Sunbelt Business Brokers, has run through a string of telemarketing temps in the past year, not wanting to commit in a shaky economy unless he's absolutely certain he's found the right one.

``If you're really looking to hire someone in an upper position, you're going to do a great deal more background checking, but when you hire a temp, you don't have to,'' Goldberg said. ``They tell me what they're capable of doing, and then they have to prove it to me.''