What is seasonal employment?
Companies hire for seasonal holiday jobs for short periods, whether for part-time, full-time or contracted positions. Seasonal hiring is a specific strategy that businesses employ to fill their staffing needs during peak times.
How long are seasonal jobs?
A holiday hiring season could be as long as several months. But in the case of a restaurant anticipating a huge crowd for New Year’s Eve, the holiday rush could be for as little as one day. A peak season depends on the demand for the product and/or service you offer, and the length of the busy season.
A business owner may rely on seasonal employment to keep up with demand in the spring if they own a lawn care business. A camp could hire seasonal staffing only for the summer weeks, plus one or two weeks of preparation and cleanup.
It’s very common for, say, owners of a retail store or a delivery business to seek out holiday hiring for the winter season. But if you sell chocolates and flowers, Valentine’s Day could be an equally busy retail holiday season.
Pay rates and overtime wages for seasonal holiday jobs
Most employment laws also apply to seasonal workers. But there are some differences when it comes to payment and paid leave.
Every state also has different requirements (which may differ from federal laws). Pay rates for most employees must be at least the federal minimum wage, with overtime paid at time and a half. This includes seasonal employees.
The Fair Labor Standards Act (FLSA) sets the hourly rate at $7.25. However, many states have higher minimum wage requirements that you must follow. (Find the minimum wage in your state.)
That said, your business might be exempt. According to the U.S. Department of Labor, some employees may be exempt from minimum wage and overtime pay provisions, including some seasonal workers. Check with a lawyer to verify what your requirements are before hiring for the holidays.
Insurance requirements for hiring seasonal workers
Most states require businesses with at least one employee to purchase workers’ compensation insurance. This coverage can help provide coverage for medical expenses, lost wages and other costs related to on-the-job injuries.
Even if your only staff is a seasonal hire, you’ll probably need workers’ comp coverage. Seasonal employees and temporary staff can file a claim if they get hurt on the job.
And here’s the kicker: Seasonal workers often tend to be at higher risk of injury because they get less training and they’re typically less experienced. You want to ensure you have the proper training and protection before an accident or injury occurs.
Learn about winter safety tips for small businesses: 11 ways to reduce cold-weather risk.
Benefits and disadvantages of hiring for the holidays
Depending on the industry, seasonal employment can bridge labor gaps. A few benefits for business owners include:
- Flexible schedules: Scale up or down quickly by controlling how much staff you hire, when you hire them and how long their employment lasts.
- Lower employment costs: Eliminate the costs of hiring full-time employees by hiring team members to work during busy holiday seasons only.
- “Test-drive” temporary employees: Use the seasonal hiring period to determine if the employee is a good fit for the company.
Some potential downsides of hiring for seasonal holiday jobs include:
- Workers with less training: Due to the brief period of employment, you’ll have less time to train seasonal employees. It could result in workplace accidents or lower-quality work.
- Lack of loyalty: Seasonal staff don’t have as much skin in the game as regular employees, which could cause productivity and performance to suffer. They could also be more likely to leave mid-season, forcing you to hire again during your busiest time of year.
- Legal hurdles: Hiring seasonal staff has different laws and requirements. You could face legal issues if you’re not careful.
How to hire seasonal employees
Here are some tips for business owners on where to find workers for seasonal holiday jobs and how to approach the hiring process:
- Job boards and websites: Post winter seasonal job listings on job boards and industry-specific sites.
- Social media: Use Facebook, LinkedIn and Instagram to advertise positions.
- Local colleges: Target nearby colleges and universities. Many college students seek temporary work during breaks, attend job fairs or use their career services.
- Community centers: Partner with local organizations that assist job seekers. Post flyers to attract local talent.
- Employee referrals: Encourage current employees to refer the right candidates. Offering referral incentives can motivate them.
- Recruitment agencies: Collaborate with staffing agencies specializing in seasonal hiring for quick access to qualified candidates.
- Job fairs: Attend or host seasonal employment job fairs to connect directly with interested candidates.
- Local advertising: Use local newspapers and community bulletin boards to spread the word.
5 tips for hiring seasonal employees
Seasonal workers can help you fill labor gaps during the busiest times of the year. Here are some helpful tips for finding quality seasonal workers:
- Start sooner rather than later. Finding the right seasonal worker could take several weeks. Ramp up seasonal employment efforts quickly to ensure the staff is trained and ready before you need them.
- Find applicants looking only for seasonal work. Many candidates aren’t in a position to take on a long-term role. A grad student or stay-at-home parent looking to return to the workforce may be a perfect fit for holiday jobs.
- Be clear about job expectations. Provide detailed job descriptions of the roles. Be upfront about the role’s hours, pay and responsibilities in the job posting.
- Give preference to returning workers. Holiday hiring and training staff is time-consuming. You can be more efficient by prioritizing returning seasonal employees; maybe they’ll also return next year.
- Hire for attitude. When vetting applicants, make sure your seasonal staff is a good fit for your company’s culture. Most seasonal work doesn’t require an elaborate skill set, so hiring for attitude can be a better experience.
Businesses that could benefit the most include: