EXHIBIT 11
                        BARRETT BUSINESS SERVICES, INC.
                      STATEMENT OF CALCULATION OF AVERAGE
                           COMMON SHARES OUTSTANDING


                                                               Three Months
                                                                   Ended
                                                            September 30, 1996
                                                            ------------------


Primary Earnings Per Share:
   Weighted average number of shares                             6,776,985 
   Stock option plan shares to be issued at prices
    ranging from $3.50 to $18.6875 per share                       494,050 
   Warrant issues at a price of $4.20 per share                     90,000 
   Less: Assumed purchase at average market price
         during the period using proceeds received upon 
         exercise of options and purchase of stock, and 
         using tax benefits of compensation due to premature 
         dispositions                                             (342,369)
                                                                 ---------
      Total Primary Shares                                       7,018,666 
                                                                 =========

Fully Diluted Earnings Per Share:
   Weighted average number of shares                             6,776,985 
      Stock option plan shares to be issued at prices
       ranging from $3.50 to $18.6875 per share                    494,050 
   Warrant issues at a price of $4.20 per share                     90,000 
   Less: Assumed purchase at the higher of ending or 
         average market price during the period using proceeds 
         received upon exercise of options and purchase of 
         stock, and using tax benefits of compensation due to 
         premature dispositions                                   (342,369)
                                                                  --------
      Total Diluted Shares                                       7,018,666 
                                                                 =========