Target says it plans to hire around 100,000 employees for the holiday shopping season.
The retailer’s plans, announced on Monday (September 16), are in line with last year’s hiring numbers and come at a time when analysts expect a slightly slower pace of shopping in 2024.
The positions are for Target’s stores and supply chains, the company’s announcement said, noting that employees are needed for order pickup, drive-thru and warehouse operations. Although these are seasonal jobs, Target notes that more than half of the employees hired last year were permanent positions.
“This year, the retailer is once again investing in its team by initially offering its current team members the opportunity to work overtime during the holiday season,” Target said in a press release. “Target also continues to utilize its On-Demand Team in its stores, a group of team members who can pick up shifts on demand so they can balance their personal, financial and professional goals.”
The announcement comes days after a Deloitte report suggested American consumers will reduce holiday spending compared to last year.
The report predicts that retail sales during the 2024 holiday season will rise 2.3 to 3.3 percent to $1.58 to $1.59 trillion between November and January. In 2023, holiday sales rose 4.3 percent during the same period, according to the accounting and consulting firm.
“Although holiday sales growth will be slower than last year, we expect healthy growth in disposable personal income combined with a stable labor market to ensure a solid holiday selling season,” said Akrur Barua, economist at Deloitte Insights.
Deloitte’s findings follow reports that inflation fell to a three-year low, while Fed data showed consumers were piling up revolving debt on their credit cards, leaving their debt 25 percent higher than pre-pandemic levels.
While Fed data showed expectations for growth in average household spending are rising, if things like housing and dining out remain expensive, “it means there will be less money available for other items like clothing or electronics in the run-up to the fall months and holiday shopping season,” PYMNTS wrote.
And as noted here earlier this month, there are signs that cash-strapped consumers may spend this fall hunting for bargains, including at retailers like Target.
“Given the significant headwinds they have faced from inflation over the past few years, consumers continue to focus on value as they work hard to manage their household budgets,” Target Chairman and CEO Brian Cornell told analysts on the company’s recent earnings call. “And while they continue to shop around holidays and other seasonal moments, many are delaying purchases until the moment they need them.”
