Companies Are Hiring Fewer Holiday Workers

Usually, the holiday season is a great time of year to find a job. Companies have temporary jobs available that can turn into long-term roles, or they’re eagerly hiring permanent roles for the new year. But this year, things are different. Learn more about why this holiday season is bringing fewer job openings to job seekers.

Why is the Holiday Season Usually Good for Job Seekers?

Typically, you have to try hard not to find a job during the holidays. As businesses approach the end of the fiscal year, they have more room for new hires. They don’t need to worry about tight budgets. Even companies that aren’t looking to expand need workers. With most industries having the best sales around the holiday season, there’s often an influx of seasonal positions.

Those seasonal positions aren’t always temporary. For decades, job hunters have been able to use seasonal roles to impress management. Working a seasonal job opens the door to long-term opportunities. Even if the job doesn’t result in a permanent position, it adds to your resume and sets you up for an easier job search.

So, the holiday season is usually a great time to find a new job. But the current economy means that the previous trends aren’t necessarily true. Company owners are concerned about the future but still need talented employees to manage the holiday demand.

Current Challenges for Employers

The current economy makes it incredibly difficult for employers to know how to handle the holiday season. Because of inflation, most companies can’t afford to hire as much staff as they usually do for the holidays. But there’s still a strong demand for their goods and services, so companies that don’t hire seasonal staff could be missing out on money.

Further complicating matters is the fact that the labor market is still in favor of job seekers. There are more vacancies than there are job hunters. Although the market is balancing out, it’s not quite there yet. Employers who don’t hire soon could end up missing out on all the qualified workers.  

Another struggle is the lack of uncertainty. No one knows what the economy will do over the next year. While some predict a recession, others don’t. Executives are wary of overhiring with tough times on the horizon, but they also don’t want to limit their business from growing.

Looking at Seasonal Trends

It’s not conjecture to say that companies are hiring fewer seasonal workers. In fact, the statement is proven by trends seen in September and October. In the past, retail job postings in September and October usually surge. This year, there was no surge. The number of postings remained about the same as they did in the previous months.

With that said, it’s not all bad news. Due to the pandemic finally coming to a close, retail employment surged in the first quarter of the year more so than in any other year. This means there wasn’t a need to hire new workers for the holidays; the staffing was already there. In August, staffing levels were higher than they had been in every year prior to 2021. Nonetheless, the pattern shows that this year won’t follow the same trends of the past.

E-Commerce on the Rise

There’s another reason for the fewer job openings. Since the pandemic, the retail sector has shifted. E-commerce is more prevalent and people are opting to shop online over shopping in stores. Therefore, there are fewer retail jobs and more trucking and warehouse positions.

In previous years, there have been about 450,000 holiday jobs and 350,000 warehousing and delivery positions. But this year, there are more warehousing and delivery roles than retail ones.

What It Means for Job Seekers

As you can probably guess, this holiday season will be tougher than most for job seekers. The more limited availability of regional jobs isn’t the only hurdle you could be facing this year. In addition to there being fewer jobs, there are fewer sign-on bonuses. Because there was such a drastic worker shortage in 2020 and 2021, companies began to offer hiring incentives. Job seekers could expect sign-on bonuses and other great benefits.

Unfortunately, those incentives are no longer as widely available. Some companies offer incentives, but cash bonuses are much more difficult to find right now. If you do find a holiday job, you shouldn’t expect a sign-on bonus.

Quicker Hiring Process

The one thing in your favor could be a quicker hiring process. In an effort to be competitive without offering incentives, some companies have streamlined their hiring process. They removed irrelevant requirements from their listings, shrunk the number of interviews, and decided to make immediate hiring decisions.

One example of a company with a speedy hiring process is Bass Pro Shops. To make things quicker, the company does interviews during their hiring events. They also make on-the-spot offers after the interviews. The Body Shop no longer does drug tests or background checks, which reduces the onboarding time. If you want a job with UPS, you can expect an offer within 25 minutes of them receiving your application. You might not have a sign-on bonus, but you can get back to work quickly.

What You Should Do

Now that you know about the current situation, there are a few things you can do to help find a job. For one, you should look for a company that has a quick hiring process. This will get you a job before other job seekers have the time to apply. If you wait too long to search or apply for work, you could miss out on a great job.

You also need to search more frequently than you did in the past. Every day, you should spend a little time looking for work. This ensures that you don’t miss any vacancies that need to be filled immediately. With the right job platform and a strong resume, you can find a great job this holiday season.