New Economic Realities  //   October 26, 2026

Retailers take a targeted approach to seasonal hiring in preparation for historic holiday sales year

The seasonal hiring rush is in full swing as retail companies shore up for their busy period. According to the National Retail Federation’s latest forecast, holiday retail sales this year are expected to surpass $1 trillion for the first time ever. 

UPS says it’s hiring 100,000 workers over the next few months to meet peak shipping demand. And Amazon plans to hire 300,000 seasonal, part-time and full-time workers in the U.S. over the holiday season. That figure is up 20% from the same period last year, indicating a jump in demand for logistics and fulfillment across its network. Retail chains like Macy’s, Dick’s Sporting Goods and Foot Locker have already begun to staff up their stores. 

Spirit Halloween, known for its seasonally run stores, said it’s hiring more than 52,000 seasonal associates across 1,500 U.S. and Canadian stores, making its largest hiring effort to date. In September, Michaels began hiring for more than 10,000 roles, and the craft retailer reported that nearly 50% of seasonal positions converted to permanent roles after last year’s holiday season. As the 2026 holiday shopping season approaches, retailers and logistics companies are adapting their workforce strategies to match evolving consumer habits and supply chain demands.

Allocating labor across the right channels

Savannah Wei Shi, associate professor of marketing at the Leavey School of Business at Santa Clara University, said the main takeaway this season isn’t the top-line seasonal headcount totals. Instead, it’s about how selectively retailers are allocating labor across their channels. 

According to Indeed Hiring Lab, seasonal warehouse roles account for 9% of seasonal retail postings, a jump from 3.5% in 2019. That means e-commerce players like Amazon are ramping up recruitment specifically for back-end fulfillment, warehousing and logistics, said Shi. 

Matt Wilkerson, director of national accounts at HireQuest, said distribution activity remains strong this year, particularly in e-commerce fulfillment, warehousing, transportation and third-party logistics operations. 

“Employers still need access to additional labor during peak periods,” said Wilkerson. “But many are seeking partners that can provide workforce flexibility rather than maintaining excess headcount year-round.”

Shi said physical retailers are increasingly taking a targeted approach, leaning on existing staff, flexible scheduling, and cross-training workers to manage tasks like pickup and returns. So rather than simply over-indexing on general sales floor staffing, today’s retail leadership is designing their seasonal workforce strategy around the biggest operational volume and customer friction, Shi said. 

A younger applicant pool emerges

Trent Cotton, head of talent insights at talent acquisition platform ICIMS, said retailers need to be more strategic about holiday hiring this year as they weigh seasonal staffing needs against uncertainty around consumer demand. 

Cotton also said the incoming cohort of seasonal workers is changing, which could shift recruiting strategies.

“Who’s applying matters,” Cotton said. He pointed to ICIMS data showing that candidates ages 18-24 accounted for 40% of retail applicants in September, up from 37% a year ago. 

“As Gen Z makes up a growing share of the talent pool, retailers need to make the hiring process work for them.” Bringing on this young talent pool requires clear communication, upfront information about pay and job requirements, and an application process that’s easy to navigate. “You can’t afford to lose this large subset of the talent market because your process is too slow or too complicated,” Cotton said. At Spirit Halloween, for example, people can apply for seasonal positions by visiting the company’s online career portal or texting “REAPER” to 85000.

Shi said this year’s hiring timelines “signal cautious optimism, but with a clear recognition of how hyper-deliberate today’s price-sensitive shoppers have become.” Consumers aren’t necessarily spending less overall, she said, but inflation fatigue has pushed them to time their purchases strategically. That includes holding out for big promotional events and spreading spending across the season.

Because pinpointing exact demand spikes has become so difficult, Shi said maintaining a flexible workforce “allows retailers to protect operating margins while remaining equipped to capitalize on sudden, deal-driven surges.”