Target and Walmart will hire thousands of new employees for the holiday season

Target said its holiday recruitment will be in line with last year, but it is rethinking its approach to the roles of these workers to adapt to new shopping habits during the pandemic. Target is ready to employ 130 workers, but will mainly focus on online orders, writes CNBC.

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Compared to the first half of the year, twice as many Target employees will process online purchases. Distribution centers will add more employees than last holiday season to keep stores from running out of popular items. Some workers will focus on safety. In all stores, employees will be cross-trained so that they can switch from one task to another as needed, from disinfecting shopping carts to helping with picking.

Target CEO Brian Cornell said its approach to staffing and customer service during the holidays will emphasize flexibility, a theme that all retailers have had to embrace as the pandemic changes the way Americans shop. He expects "certain trends that emerged earlier this year to continue through the holiday season."

“Of course, we continue to see guests gravitate toward ease, convenience, and contactless ways to shop through digital channels,” Cornell explained.

Early forecasts for the holidays suggest sales will rise this year, but marginally, as consumers are in a crisis over the coronavirus. Consulting firm Deloitte predicts holiday sales could grow 1% to 1,5% this year, but said this will depend on whether high-income consumers spend the money and low-income families reduce their spending.

Cornell declined to give a forecast for a typically busy shopping season. However, he said the store will make other changes related to the pandemic, such as starting holiday discounts in October.

On the subject: 8 Things to Buy at Target

“We really expect it to be a very different season,” he said. “We hope that guests will start making purchases earlier and will continue to do so throughout the season. We don't expect long lines on Black Friday morning. But we certainly expect a very engaged consumer who is looking forward to the holidays.”

Target HR director Melissa Kremer said current employees can get extra hours and take on responsibilities outside the normal department, such as completing online orders.

Target has seen sales boom during the pandemic, especially in the second quarter, which ended Aug. 1. That beat Wall Street's expectations for a record same-store sales growth of 24,3%.

In particular, same-day delivery has contributed to sales growth throughout the pandemic. Target offers three options: Shipt, an online home delivery service, including groceries; Drive Up, a pickup service, and Order Pickup, delivery of ready-made purchases from the store. Sales through services grew 273% year over year in the second quarter. Drive Up showed the sharpest growth – by 700%.

Cornell attributed this rise to the fact that families spend money differently because they cannot go to the movies or on their typical summer vacations. Some have also discovered Target's e-commerce opportunities, he said.

As with other retailers, Target has seen a shift towards e-commerce. During the first half of fiscal 2020, more than 10 million new customers made purchases on the website. The demand for the same-day options that everyone buys online has quadrupled.

But unlike big rival Walmart, Target did not hire hundreds of thousands of new employees during the pandemic. Walmart hired over 500 workers in its stores and supply chains during the pandemic and said that plans to employ 20 seasonal workers for their fulfillment centers for the holidays.

The retail giant said the new hires will assist fulfillment centers across the country as they prepare for "the expected increase in online shopping," writes Fox Business.

Walmart was the latest to announce hiring ahead of a busy season for online ordering as the coronavirus pandemic has forced an increasing number of consumers to shop online.

Walmart said there are various positions available, including order filling operators and power equipment operators. And they will all receive an initial hourly rate of $ 15,75 to $ 23,75 depending on location, job title and schedule.

Seasonal employment will begin immediately and shifts will be assigned two days after hire. Employees will work until January 1, but “many will have the opportunity to transition to permanent positions,” the company said.

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