US companies staff up for holiday rush, hire seasonal workers

Ahead of the holiday rush, the search for seasonal workers could see some companies scrambling for talent as the unemployment rate remains low.

Companies including UPS plan to hire over 100,000 employees at distribution centers across the country. The shipping giant now uses what it's called a "digital first" application process in which job offers could be extended in as little as 25 minutes, often without interviews.

At a hiring event in Columbus, Ohio, UPS human resources partner Vern Brown told FOX Business the package carrier had focused on streamlining the hiring process.  

"It really feels like our Super Bowl," Brown said. "We know what to do, we’ve started early with 600 hiring events across the organization and we’ve made the process as quick and easy as possible."

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Amid a tight labor market, Brown said UPS would also offer referral bonuses and sign-on bonuses for certain positions.

"Our basic positions are anywhere from $16 to $30 an hour. So it’s a great opportunity, it is based off the candidate's flexibility, what fits them," Brown said. "Our tractor-trailer positions for [commercial driver license-qualified] candidates start at $21 an hour but also include a $6,000 sign-on bonus."

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The delivery and warehousing sector typically adds 350,000 jobs over the holiday season, according to data from the U.S. Labor Department.

In addition to UPS, the U.S. Postal Service and Amazon are expected to contribute to that total, adding 28,000 and 150,000 jobs respectively for "peak season." FedEx has yet to disclose how many seasonal positions it will offer.  

Across the country, major retailers are also staffing up as the peak season approaches. 

Target has announced it will add 100,000 seasonal jobs as it did in 2021, while Macy’s has announced plans to hire 41,000 full and part-time season workers. Officials with Kohl’s have said the company plans to add about as many seasonal workers as it did in 2021: 90,000.

Amid the hiring spree, some companies are hiring fewer people than in years past. For example, Walmart is expected to add only 40,000 seasonal jobs compared to the 150,000 positions it offered in 2021. 

Walmart officials have said the company's holiday hiring push is smaller this year as full-time staffing levels are stronger going into the season.

Mark Mathews with the National Retail Federation (NRF) told FOX Business the economy could play a role in how some companies will hire seasonal employees.

"Retailers are telling us they are expecting inflation to be here for a while," Mathews said. "Despite that, they say they're prepared for consumers to prioritize holiday spending."

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Mathews explained that many retailers are expected to start holiday sales earlier to get rid of excess inventory, which could also affect how they would hire seasonal help. 

"One of the things we expect to see is people shopping earlier, there’s a recognition that there a deals out there and the deals are available right now," he said.