Recruit Earlier and Pay More this Holiday Season

Recruit Earlier and Pay More this Holiday Season

Hourly workers will likely get an early gift this holiday season, according to a new hiring survey by Snag. The 2018 Annual Holiday Hiring Survey released last week says employers at restaurants and other retail locations can expect to pay higher wages this year to attract seasonal workers during the holidays.

The nationwide survey of hourly employers found the average hourly wage for seasonal workers is expected to jump nearly 32%, from $11.70 in 2017 to $15.40 this year. Retail is leading the way in expected seasonal wage growth, jumping by as much as 54%, with hospitality companies forecasting increases of 51%, and restaurant wages rising around 33%. In addition to paying more, employers will begin recruiting earlier than usual in order to attract talent in the tightest labor market in nearly two decades.

With more employers saying they’ll need extra workers this year (84% versus 77% in 2017), the competition for skilled hourly employees is expected to be fierce, and 86% of employers say they will struggle to fill temporary seasonal positions. To attract workers, a majority of employers (77%) say they’ll be offering perks and benefits including paid time off, training opportunities, childcare, tuition stipends, health insurance, and even transportation reimbursement.

Other findings from the report:

  • The number of companies that began recruiting in August or earlier more than doubled compared with last year.
  • In the restaurant industry, the hottest hourly positions this holiday season will be servers, dishwashers, and cashiers.
  • Managing employee schedules during the holiday period is expected to be one of the biggest challenges according to 54% of employers.
  • The lack of qualified workers and competition from other employers are the major challenges employers are facing as they seek to fill jobs.
  • More than a third (37%) of employers expect to rehire between 1 and 5 employees from the 2017 holiday season.
  • A majority of employers (62%) have increased their use of social media to recruit hourly workers this year.

Data for the 11th annual Snag Holiday Hiring Report was conducted by Wakefield Research, which surveyed 1,000 employers with hiring responsibilities, specifically targeting the nation’s retail, restaurant and hospitality industries.

Published: October 3rd, 2018

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