When my father graduated from college, he and many of his graduating class entered the workforce with the expectation that their chosen career paths would last until retirement. 

#-ad_banner-#These employers valued loyalty and devotion almost as much as effort and innovation. The “company men” of my father’s generation provided their employers these qualities in spades. This feeling of being an essential part of the company was largely the same for blue- and white-collar employees alike.

Fast-forward a generation or two, and things have changed. Today, employees see themselves as free agents, free to work for whoever offers the best deal.

This increase in employee mobility has accelerated an employment trend nearly 70 years in the making.

The temporary worker industry as we know it today began in 1947 after World War II. Temp agencies were started to provide a low-cost labor force that wasn’t part of the powerful unions of the time.

These temporary employees provided the same services as full-time workers for a fraction of the full-time pay — and without costing the employer benefits, vacation time or even Social Security taxes.

During the 1970s, a period of deep recession in the United States, the temporary worker concept really took off as companies struggled to cut costs.

Today, forces such as government regulations and the outsourcing of labor to lower-cost regions around the globe have supercharged the sector, which is now known as the staffing industry. In addition, there is a global talent shortage: 35% of employers report finding it difficult to find employees with the right skills to fill open positions.

Investors may profit from this accelerating trend by investing in staffing firms. Here are two of the more popular stocks in the staffing business:

1. ManpowerGroup (NYSE: MAN )

This staffing company has been in business for 65 years and specializes in recruitment, workforce consulting, outsourcing and career management. Manpower boasts 400,000 clients in 80 nations. With a market cap of close to $7 billion, Manpower booked gross profit of nearly $3.4 billion on revenue of $20.3 billion last year. In its most recent quarter, the company beat consensus estimates with revenue of $4.9 billion and earnings per share (EPS) of $0.86. For the current quarter, Manpower expects EPS of $1.26 to $1.34. The company recently increased its semi-annual dividend 7%, but MAN’s dividend yield of 1.2% represents a 22% payout of earnings. MAN’s price has been trending higher in roller-coaster fashion since the start of February. Near the end of April, price broke above the 50 day simple moving average and has used this average as support on its march higher. Shares have pushed to a high of $87 but have since fallen back. A technical base is being built at $83.50, creating an ideal entry point.

2. Kforce (NYSE: KFRC )

A much smaller company than Manpower, this roughly $725 million company has been in business since 1962 and specializes in the technology, finance, accounting and health information management industries. Kforce recently posted EPS of $0.19 on record quarterly revenue of just over $305 million. The company annual booked gross profit of $370 million last year on revenue of $1.2 billion.  Shares of KFRC currently pay an annual yield of 1.8%, but that represents a payout ratio of 47%. Despite its upbeat quarterly results, KFRC’s technical picture is very uncertain right now. Shares have been trading in a tight channel between $21 and $23.50. In fact, price has just broken support at the 50-day simple moving average and could test the 200-day simple moving average in the $20 area.

Risk to Consider: Staffing companies are subject to the same economic forces that affect all companies: A global slowdown or internal issues could adversely affect share prices. Always use position size and stop-loss orders when investing.

Action to Take –> I like Manpower right now, based on tailwinds in the staffing industry and MAN’s price action, which is building a technical base that is supported by solid fundamentals. Buying above $83 with a 12-month target of $91 and stops at $82.50 is my call on the company.

Despite the record results of Kforce, I would avoid the shares due to the uncertain technical picture until resistance at the $23.50 level is broken.

The only thing better than investing in high-quality companies is investing in high-quality companies that return money directly to shareholders. In our latest research, we’ve found 13 market-dominating companies that have been hoarding billions of dollars since the financial crisis — and they’re set to pay out $39.5 billion in dividends in 2014 alone. To get access to the names and ticker symbols of some of these companies, follow this link.