Seasonal hiring for summer is a smart move for many small business owners. You may not need to hire full-time or part-time staff, and bringing on seasonal workers could be all you need to keep things running smoothly during your busiest time of year.
However, hiring seasonal workers can be complex. To assist with this, Next Insurance has compiled a guide on pay rates, insurance requirements, benefits, and challenges of summer hiring.
What is seasonal hiring?
Companies hire for seasonal summer jobs for short durations, whether for part-time, full-time, or contracted positions. Seasonal hiring is a strategic approach that businesses utilize to have more hands on deck during peak periods.
How long are seasonal jobs?
The duration of a summer hiring season can vary, from several months to just one day for a special event. The length of the season depends on demand for your product or service and the nature of your business.
For example, a lawn care business may hire seasonally to meet spring demands, while a camp may only need seasonal staff for the summer weeks and some preparation time.
Seasonal hiring is common in industries like retail, delivery, or hospitality during holiday seasons. Different businesses have distinct peak periods.
Pay rates and overtime wages for hiring seasonal employees
Seasonal workers are covered by most employment laws, including pay and leave regulations. Pay rates are typically at least the federal minimum wage, with overtime pay at time and a half. State laws may have different requirements.
While the federal minimum wage is $7.25 per hour according to the Fair Labor Standards Act (FLSA), states may have higher minimum wage laws. Your business may be exempt based on certain criteria. Consult with legal experts to ensure compliance before hiring seasonal staff.
Insurance requirements for seasonal hiring
Most states mandate businesses with at least one employee to have workers’ compensation insurance. This coverage helps with medical expenses and lost wages for on-the-job injuries or illnesses.
Even when hiring seasonal employees, you’ll likely need workers’ comp coverage. Seasonal workers can file claims for work-related injuries, which is important considering they may be at higher risk due to less experience and training.
Benefits and disadvantages of summer seasonal staffing
Seasonal employees offer flexibility, cost savings, and an opportunity to test future full-time employees. However, challenges include less training time, lower loyalty, and legal compliance issues when hiring seasonal staff.
5 tips for hiring seasonal employees
To find quality seasonal workers, start early, look for candidates seeking seasonal roles, prioritize returning workers, hire for attitude, and tailor hiring to fit your industry needs.
Businesses in sectors like vacation resorts, summer camps, construction, and retail stores can benefit greatly from seasonal hiring.
This story was produced by Next Insurance and reviewed and distributed by Stacker Media.
