Getting people temporary work is his full-time job
9/4/2005
By Johanna Seltz GLOBE CORRESPONDENT
There's nothing temporary about Joseph Donahue's business of
providing temporary workers: He's celebrating his Quincy-based company's 20th
anniversary
Donahue, 49, started Microtech Staffing Group in his mother's
basement in Waltham in 1985 He'd worked for Honeywell and wanted to be
self-employed He hoped he could use his networking skills to find a niche
supplying temporary workers to the high-tech industry His company barely
survived that first year, earning a meager $600
Over the years, though, Microtech morphed into a major player in
the regional temporary staffing world When the high-tech bubble burst -and
clients like Wang, Prime, and Digital disappeared -Donahue switched to the
medical devices arena, and then diversified into professional services like
accounting and administration
These days, Microtech sends out about 1,200 temporary workers a
day across Greater Boston to jobs doing everything from light manufacturing to
engineering, and generating about $40 million in sales a year, Donahue says
It is ranked as the second largest privately owned temporary
employment agency in New England by the latest Boston Business Journal's Book of
Lists
The company was able to move out of Donahue's childhood basement
after two years, but his mother stayed on as "office head honcho" taking care of
the billing and stuffing envelopes until her death last year at age 90
Microtech moved to Quincy, above the Alba Restaurant, in 2000,
and now has offices in Medway, Woburn, Danvers, and Londonderry, NH It also
just opened a branch in Miami, and is considering expanding to other Florida
cities, Donahue says
Donahue says he's also looking into the healthcare market
-filling spots for nurses and physical therapists -and increasing services for
administrative and accounting jobs in downtown Boston His expansion plans are
based on general optimism about the economy
"We're usually six to nine months ahead -temps are the first in
and first out -and the economy is moving along," he says "We're getting back to
capacity?'
Nationally, the temporary staff business is booming; the US
Bureau of Labor Statistics predicts it will be the fifth largest growing
industry through 2012 The National Staffing Association, a trade organization,
says business totaled $158 billion in the first quarter of this year, an
increase of 115 percent from the same period in 2004
Donahue says the use of temporary workers has shifted over the
years, from fill-ins for people on vacation to a way for companies to cut costs
by eliminating the need to pay for benefits such as health insurance His
response, he says, is to pay good wages and help provide access to the
marketplace
He said 37 percent of his temporary workers have ended up with
permanent jobs through their placements Several became millionaires by getting
in early with clients who rode the dotcom wave to success, he says
Microtech's workers range from high school students to senior
citizens 'Two-thirds are recent immigrants In the 1980s, many came from
Southeast Asia More recently, many come from Central or South America
"We've done a good job being a gateway for a lot of the new
Americans, getting them into companies," he says "And we're starting to see the
children of the people we put in They're more educated and looking for
different [jobs], higher-end things, which is a good thing"
Both education and the chance for immigrants to succeed are close
to Donahue's heart His mother emigrated from Ireland and had to give up the
chance for a college education to go to work
Donahue, who graduated from Boston College High School and Boston
College, and then earned a master's degree in business administration from
Babson College, is a two-term trustee of BC High, and recently created a
scholarship there in his mother's name He and his wife, Beth, also are active
at St Paul's in Hingham, where his 12-year-old daughter goes to school
"I just hope we've done a good job opening opportunities to a lot
of people of all walks of life and all ages," he says of his company
"Hopefully, it's been a win-win for all of our clients and
employees And I hope to have another 20 good years here in Quincy?"