Labor Market Will Make Seasonal Hiring Tough

Gearing up for the holiday shopping season, retailers are laying out seasonal hiring plans, suggesting hiring will be at least difficult – if not more so – than last year.

Hiring temporary workers last holiday season proved difficult during a time when the unemployment rate was at a low point. According to CNBC, this year is poised to be more difficult for retailers, as the unemployment rate is at a record low, meaning job-seekers can be pickier about where they choose to work, putting pressure on companies to pay higher wages or source help from existing workers.

Out of the 20 major retailers surveyed by Korn Ferry (Los Angeles) executive recruiters, roughly two-thirds plan to hire at least as many seasonal employees as last year. Nearly as many (63 percent) plan to give their permanent workers more hours to fill the short-term roles.

Target (Minneapolis) said it plans to hire 20 percent more seasonal employees, 120,000 positions; Macy’s (Cincinnati) plans to hire the same amount as it planned last year, 80,000; and Kohl’s plans to bring on 90,000 seasonal workers, 21,000 more since it last released seasonal plans in 2016.