The Christmas recruitment challenge: A call to action for UK businesses

As the festive season approaches, businesses across the UK are gearing up for what is often their busiest time of the year.

However, a recent survey reveals that three quarters of businesses are concerned about their ability to recruit sufficient staff to meet the anticipated demand during this critical period.

This situation poses significant challenges, particularly for small and medium-sized enterprises (SMEs) that rely heavily on seasonal workers to manage the influx of customers over Christmas and New Year.

Rising demand for seasonal staff

According to research conducted by Indeed Flex, an online recruitment platform, 75 per cent of businesses have expressed concern about finding enough extra staff for Christmas this year.

The survey, which included responses from 1,000 SMEs, indicated that nearly 80 per cent of these businesses expect a busier festive period compared to last year. In fact, two-thirds of respondents plan to hire more staff than they did in 2023, highlighting an urgent need for effective recruitment strategies.

The survey also revealed that 80 per cent of businesses are looking to fill full time positions, while 27 per cent require part time help. There is a notable demand for temporary workers as well, with 30 per cent seeking full time and 26 per cent part time seasonal staff.

The trend highlights the importance of early recruitment efforts. Indeed, the survey reveals that 58 per cent of firms have already begun the hiring process earlier than in previous years.

Challenges in recruitment

Despite the clear need for additional staff, many businesses face significant hurdles in their recruitment efforts.

Nearly half (48 per cent) of respondents identified finding the right candidates as their biggest challenge during the festive season.

Other concerns include managing holiday requests (40 per cent), increased salary costs (38 per cent) and organising staff rotas and shift patterns (36 per cent).

Retaining staff also emerged as a pressing issue for 32 per cent of businesses.

Commenting on the research, co-founder and Chief Executive Officer of Indeed Flex, Novo Constare, said, “Businesses are feeling optimistic about trading activity this Christmas but staffing shortages are a concern. The end of the calendar year is an important period for a lot of firms and they will want to maximise their sales performance by ensuring they have the strongest possible team in place.”

“While many employers are looking to fill full-time positions, temporary staff could be an ideal solution if they’re unable to find the right candidates. Hiring extra seasonal workers will address immediate labour shortages and ensure that firms are able to take full advantage of the busy festive season.”

“This approach may also help to ease financial pressures heading into next year, when the increase in employers’ National Insurance contributions will take effect. The tax hike will be a shock to many businesses and it means they will have to manage staff costs even more tightly to keep a lid on expenditure and protect profits,” added Mr Constare.

Strategic solutions for recruitment

To tackle these challenges effectively, businesses like yours must adopt proactive recruitment strategies tailored to the festive season.

Here are several key effective approaches you can start to use:

  • Start early: Given that many firms are beginning their hiring processes earlier this year, it’s essential to get ahead of the competition by starting recruitment as soon as possible.
  • Leverage technology: Utilising recruitment platforms like e4s and ATS software such as Talent Funnel can streamline the hiring process. Tools such as AI-driven analytics can help predict staffing needs based on historical data and current market trends.
  • Flexible work arrangements: Offering flexible working hours or hybrid roles can attract a broader range of candidates who may be juggling other commitments during the holiday season.
  • Enhance employee engagement: Fostering a positive work environment can improve retention rates among seasonal workers. Providing training and development opportunities not only enhances service quality but also makes young staff feel valued.
  • Utilise existing staff: Encouraging current employees to take on additional hours or refer potential candidates can be an effective way to fill gaps without extensive new recruitment efforts.

Summing up

The festive season presents both opportunities and challenges for UK businesses. With a significant proportion expressing concern over staffing levels, it is important that companies take decisive action now to ensure they are prepared for the busy months ahead.

By implementing strategic recruitment practices and fostering an engaging work environment, you can not only meet customer demands but also enhance employee satisfaction during this critical trading period.

As we approach Christmas, it is clear that effective workforce planning will be essential in navigating these challenges successfully.

With careful preparation and innovative solutions, UK businesses can thrive amidst the pressures of the holiday rush and set themselves up for success in the new year.

And, don’t forget, if you are a recruiter struggling to fill your seasonal roles right now then we can help. Register or login now to find the best student talent in the UK.