Each year, retailers rush to hire employees to support their stores and distribution centers, preparing for the surge in demand as millions of Americans shop for Christmas and other winter holidays.
This annual hiring spree often serves as a barometer for the health of the retail sector and the broader U.S. economy.
According to Labor Department data released on Wednesday, seasonal hiring in the retail trade sector for November 2024 was lower than the previous year. However, this decline may reflect evolving strategies companies are using for workforce planning.
The challenges of hiring during the economic reopening in late 2020 and early 2021 prompted some retailers to spread their hiring efforts throughout the year, reducing reliance on last-minute recruitment just before the holiday shopping period. Additionally, some companies prioritize increasing shifts for existing employees before turning to seasonal hires.
Every year, the holiday shopping season drives retailers to ramp up hiring efforts to staff their stores and distribution centers, catering to the surge in demand as millions of Americans shop for Christmas and other winter holidays.
This wave of seasonal hiring serves as an indicator of the retail sector’s health and the broader state of the U.S. economy.
In November 2024, Labor Department data revealed that seasonal hiring in the retail trade sector was slightly lower compared to the previous year. However, this decline may reflect evolving strategies in workforce planning. Challenges in hiring during the economic reopening in late 2020 and 2021 pushed some retailers to distribute their hiring efforts more evenly across the year. Many companies now rely less on last-minute hires before the holidays and instead prioritize increasing shifts for their current employees before bringing in seasonal staff.
Looking ahead to the 2024 holiday season, major retailers maintained hiring strategies consistent with the prior year. Target and Bath & Body Works expected seasonal hires to mirror 2023 levels, while Macy’s set a goal of hiring 31,500 workers, slightly fewer than the previous year. Amazon aimed to onboard 250,000 employees across fulfillment and transportation operations, a figure comparable to its 2023 hiring. Amazon’s roles spanned full-time, part-time, and seasonal positions.
Seasonal hiring extends beyond retail stores. The e-commerce boom during the Covid pandemic shifted focus toward staffing distribution centers to manage online orders. Moreover, seasonal hiring often influences workforce dynamics beyond December. Retailers like Gap Inc., including its Banana Republic and Athleta brands, transitioned one in 10 seasonal workers into full-time positions in 2024. Similarly, more than half of Target’s seasonal staff in 2023 secured permanent roles after the holiday season, reflecting the lasting impact of holiday hiring on the workforce.