Holiday season consumer spending in the United States is expected to cool down. Macy's, Inc. (M.US) is reducing the hiring of seasonal employees.
20/09/2024
GMT Eight
US retail giant Macy's, Inc. announced plans to hire more than 31,500 full-time and part-time employees during the upcoming holiday season, a decrease from last year's approximately 38,000 employees and 41,000 employees in 2022.
This move reflects the overall trend in the US retail industry. Due to a soft job market and cautious consumer spending, it is expected that US retailers will reduce the hiring of seasonal employees.
A Deloitte report shows that due to inflation and reduced consumer savings, holiday season sales in the US are expected to grow at the slowest pace in six years. The report states that during the period from November 2024 to January 2025, holiday season retail sales are expected to increase by 2.3% to 3.3%, with a total estimated amount of up to $1.59 trillion, compared to a 4.3% increase and $1.54 trillion total in the previous year. Sales increased by 3.1% in 2018.
As of the time of writing, Macy's, Inc. is up 0.13% in pre-market trading. The stock has fallen by 22% so far this year.