While stagnant hiring due to forced shutdowns and business closures affected the staffing industry last year, it is gradually reviving thanks to record-high job openings and an increase in contract staffing job rates. Consequently, we think quality staffing stocks such as TrueBlue (TBI) and Resources Connection (NASDAQ:RGP) could soar in the coming months.After a challenging year, the staffing industry is bouncing back, with temporary and contract staffing requirements rising across almost all industries. Next-generation automation, data-driven staffing, remote work, and project-based hiring are some of the factors driving the recovery of the staffing industry this year.
According to the Staffing Industry Analysts (SIA), the global staffing industry is projected to grow by 12% and reach $445 billion this year. Also, the U.S. staffing revenue is expected to rise 16% this year to a record total of $157.4 billion. As job openings hit record highs with healthcare and social assistance sectors requiring most workers, staffing companies should benefit.
Given the rising demand for workers in a reopening economy, it could be wise to bet on prominent staffing stocks such as TrueBlue, Inc. (TBI) and Resources Connection, Inc. (RGP). These stocks are expected to keep rallying due to their strong fundamentals and stable financials.