US Administrative and Waste Management Services Sector

NAICS 56
US Administrative and Waste Management Services Sector

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Industry Summary

The 450,500 establishments in the administrative and waste management services sector are comprised of industries that provide routine support to other organizations. The sector includes firms that provide employment services, investigative and security services, travel arrangements and reservations, waste management and remediation, services to buildings and dwellings, and business, office, and administrative support services. Firms typically operate as third-party contractors and may serve a variety of industries or individual households.

Client Industries Vulnerable to Economic Change

Demand for administrative support and waste management services is driven by the financial performance of customer industries, which can be vulnerable to downturns in the economy.

Solid Waste Tonnage Rises, Recycling Rates Stall

Waste generation has risen steadily over time, and recycling and composting rates have increased as well.


Recent Developments

Sep 6, 2026 - Skilled Trades Face Significant Labor Shortage
  • The US skilled trades workforce faces a significant labor shortage, with about 2.1 million job openings each year and an estimated talent gap of 1.3 million workers, according to labor market intelligence firm Lightcast and reporting by HR Dive. Skilled trades employ about 20 million people, or 9% of the workforce, but retirement accounts for roughly 40% of annual openings, and more than 25% of workers are at least 55. Demand is also rising as infrastructure investment, manufacturing growth, reshoring, and data center development increase the need for electricians, technicians, construction workers, and other tradespeople. The shortages could increase demand for employment services firms that recruit, screen, train, and place skilled workers for employers struggling to fill positions. Skilled trades also offer relatively strong pay, advancement opportunities, and limited exposure to AI-driven automation, factors that may attract more younger workers.
  • Temporary and contract staffing employment continued to strengthen in August, according to the American Staffing Association's Staffing Index. The index's four-week moving average reached 92 for the period ending August 16, with staffing employment up 4.4% from a year earlier and 3.3% from July. During the week of August 10-16, staffing jobs were 5.5% higher than the same week in 2025, while new assignments increased 5.0% from the prior week. Nearly half of staffing companies reported gains in new assignments. ASA Chief Economist Noah Yosif said temporary employment is benefiting from employers' cautious hiring strategies and demand for flexible labor arrangements amid an uncertain labor market.
  • US-based travel agency air ticket sales totaled $9.6 billion in July 2026, up 18% from a year earlier and 6% from June, according to Airlines Reporting Corporation. Total passenger trips rose 4% year over year to 25.8 million, including a 3% increase in domestic trips to 16.5 million and a 5% increase in international trips to 9.3 million. The average domestic round-trip ticket price increased 17% from July 2025 to $619, while economy fares rose 17% to $565 and premium fares increased 12% to $1,415. ARC said the gains in domestic and international passenger volumes indicate that demand for agency-sold air travel remains strong and steady.
  • Waste Dive reports that the EPA Office of Inspector General found thousands of errors in three years of E-Manifest hazardous waste shipment data, largely tied to manual transcription from paper forms. Inspectors said data-quality problems will likely continue until EPA fully adopts electronic manifests, which accounted for only about 0.4% of shipments in 2024. The review found many invalid generator and facility IDs, although they accounted for less than 1% of the total waste tonnage, and identified more serious errors, including overstated waste volumes and incorrect measurement units. EPA has added system checks and is developing further verification measures. Industry groups have raised concerns about costs, legal authority, connectivity, and implementation burdens, while environmental groups support electronic reporting but want stronger transparency, faster corrections, and backup paper records for emergencies.

Industry Revenue

US Administrative and Waste Management Services Sector

US Administrative and Waste Management Services Sector — revenue distribution by firm size chart

Industry Structure

Industry size & Structure

The administrative and waste management services sector is comprised of 450,500 establishments that employ 9 million workers and generate $1.4 trillion in annual revenue, according to government sources.

  • The administrative and waste management services sector represents 3% of the nation's Gross Domestic Product (GDP) and employs 5.7% of the country's workers.
  • The sector is fragmented with the 20 largest firms representing 17% of revenue.
  • In addition to employer establishments, the administrative and waste management services sector has 2.9 million owner-operated establishments with no employees. Subsectors with the highest numbers of nonemployer establishments are services to dwellings (62%); office administrative services (12%); and business support services (9%). The owners of nonemployer firms typically perform the work and may outsource support functions like marketing and accounting.
  • The administrative and waste management services sector has shed about 38,500 establishments annually, which equals about 10.6% of existing establishments. However, the sector has added about 42,900 new establishments annually, which is equivalent to 11.8% of existing establishments. As a result, the sector has an average growth rate of 1.2%.

Industry Forecast

Industry Forecast
US Administrative and Waste Management Services Sector Industry Growth
US Administrative and Waste Management Services Sector — industry growth forecast chart
Source: Vertical IQ and Inforum

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