LITTLE ROCK — Retailers across the nation anticipate hiring more employees for this year’s Christmas shopping season as the U.S. economy continues to recover from the recession.
Several research organizations and company announcements indicate that seasonal hiring could approach the pre-recession levels of 2006.
A survey by research firm Hay Group of Philadelphia found that 36 percent of retailers will hire more seasonal workers while 57 percent plan to hire at the same level of a year ago. Last year’s Hay Group survey found only 10 percent planned to hire more.
Treg Lewis, a Hay Group spokesman, said the survey included 14 major U.S. retailers.
A survey of hiring managers by Richmond, Va.-based Snagajob, which bills itself as the largest U.S. hourly employment network, found that more seasonal jobs will be available this year than in any of the previous four surveys.
Among hiring managers polled, 63 percent said they will hire seasonal workers, up from 51 percent a year ago. The managers surveyed, on average, anticipated hiring 6.1 seasonal workers, up from 4.1 a year ago, driven by expectations for higher sales.
Jason Hamilton, vice president of marketing at Snagajob, said in a news release that the poll results show “strong indications that there should be substantial movement in getting us back to the kinds of holiday hiring levels we were accustomed to prior to the recession.”
The International Council of Shopping Centers forecasts a 3 percent increase year over-year in sales for the November-December shopping period.
Target Corp. of Minneapolis says it intends to hire 80,000 to 90,000 additional workers for its stores and distribution centers. Target began adding staff for distribution centers in July.
Discount rival Wal-Mart Stores Inc. of Bentonville said this month it intends to hire more than 50,000 seasonal workers.
“That means when a customer needs help, a Wal-Mart associate will be there to serve them,” Gisel Ruiz, executive vice president and chief operating officer for Wal-Mart U.S., said in a news release.
Kohl’s Department Stores of Menomonee, Wis., said the company anticipates hiring 52,700 workers for the Christmas shopping season, or an average of 41 per store. The company said that is a 10 percent increase over year-ago staffing.
Toys R Us Inc., based in Wayne, N.J., said this week that it intends to hire 45,000 seasonal employees, up from 40,000 a year ago.
The National Retail Federation is scheduled to release its forecast on Tuesday for Christmas season store sales, seasonal hiring and online sales.
“At this point, all indications are that we’re at least going to be close to where we were last year, and that’s certainly not a bad thing,” spokesman Kathy Grannis said. A year ago, U.S. retailers added 607,500 seasonal jobs, an 8 percent increase from the previous year.
“Consumer spending and retail sales in 2012 so far have painted a picture of a slightly more confident customer,” Grannis said. “People are buying apparel, buying items that are not absolutely essential.”
ShopperTrak, a Chicago based company that measures foot traffic in stores, forecasts a 3.3 percent increase in sales nationally and a 2.8 percent in store traffic.
Financial advisory and consulting firm Deloitte LLP forecasts Christmas sales to increase 3.5 percent to 4 percent from a year ago.
Kathy Deck, director of the Center for Business and Economic Research at the University of Arkansas at Fayetteville, said the anticipated upswing in seasonal hiring is driven, at least in part, by some encouraging economic news. Consumer confidence is at its highest level in seven months, she said.
That is a result, at least in part, of rising home values, she said, which makes consumers feel wealthier and gives them more confidence. Deck also noted that national unemployment, at 8.2 percent, is down from 9.1 percent a year ago.
Still, many consumers remain cautious, she said.
“The real question is whether the consumer wants to get back into debt,” Deck said.
Supermarket consultant David Livingston of Milwaukee said retailers face an increasing challenge to find qualified people to work in retail.
“The biggest challenge my clients tell me we have is a labor shortage,” said Livingston, who runs DJL Research. The firm performs site analysis and market research.
He said that too many job applicants show up “in an unemployable condition,” including unacceptable attire.
“That pool seems to be getting smaller all the time,” he said.
Business, Pages 31 on 09/29/2012