Good perspective on the tightening labor market from NBC News. This expected trend of stronger earnings for retail workers is a double-dose of good news for our investors! We own neighborhood retail shopping centers as well as Class-B "workforce housing" with many residents employed in the retail and service industries. We certainly seem to be noticing an uptick in the income levels and credit quality of our typical resident.
From the article:
For holiday job-seekers, Christmas is coming early this year. With a national unemployment rate of 4.2 percent, experts are predicting a hot job market for seasonal hiring, and holiday part-timers might score the biggest bonus of all once the seasonal frenzy wraps up: A permanent gig.
“We do see a growing percentage of employers keeping workers on and using holiday hiring as a way to evaluate workers that they then keep on,” said Peter Harrison, CEO of Snagajob. ...
A recent CareerBuilder survey found that 43 percent of employers plan to hire full-time, permanent workers in the final quarter of 2017, a jump of nine percentage points over last year; nearly three-quarters expect to raise salaries. “The pay is up, and that’s what we’ve really seen,” said CareerBuilder senior career advisor Michael Erwin. “There really is competition to get this talent in.”
Retailers using seasonal hiring as a de facto farm team for their full-time employee base gives workers a boost as employers their best face forward with higher pay, bonuses for everything from employee referrals to hitting sales targets.
Full Article Here: https://www.nbcnews.com/business/consumer/why-best-year-work-holiday-retail-n812691