Seasonal employment is short-term employment hired to fill-in organizations’ workforce needs during a specific time every year. A seasonal job could last a few weeks or several months, depending on the employer, time of year, and location.
Seasonal businesses like ski resorts that only open during part of each year rely on seasonal employment. Also, if any business requires an additional workforce to serve customers during peak periods, they can hire seasonal employees.
Though some full-time seasonal jobs are available, the majority of seasonal jobs are part-time. There are no year-round positions in seasonal employment.
Advantages of Seasonal Employment for Employers
Hiring seasonal workers can be very beneficial for employers, which makes it very attractive. However, there are some drawbacks too.
1. Flexible Workforce
Employers can manage ever-changing staffing issues by hiring seasonal workers. They can increase or decrease support as needed without having to pay full-time staff or go through the trouble of complex layoffs. Also, seasonal hiring makes it easy to adjust the size of the workforce with the changes in workloads.
2. Cost Effectiveness
Employers don’t have to maintain seasonal workers on the payroll when business is slow or when extra workers aren’t needed. Also, because of being mostly part-timers, seasonal employees usually receive fewer benefits, further lowering labor costs.
3. Higher Morale
Overwork and stress can have a negative impact on employee morale and productivity. It may also result in a higher turnover rate. However, seasonal employees can help relieve pressure and support your current workforce so that they can have higher morale.
4. No Overtime
Taking on seasonal employees can help you deal with the time and a half overtime payment and get the same work done for a lower cost. This will help you to reach your target while making your employees happier.
5. Less Risky Hiring
Hiring new employees is always a risk. If you recruit the wrong people, it’s possible that they won’t work out.
If a temporary employee you hired through a staffing company isn’t fulfilling your expectations, you might ask for a different one. There is no need to retain seasonal workers who aren’t performing well.
Disadvantages of Seasonal Employment for Employers
1. Uncommitted workers
As seasonal workers work for the company temporarily, they may not be committed to their job and may take their job less seriously than permanent and full-time workers.
So, seasonal hiring may result in less motivated, unreliable, and uncommitted employees.
2. Lack of loyalty
Many seasonal workers lack loyalty towards their employers compared to the employees with permanent jobs. Nothing prevents seasonal workers from changing jobs that offer better pay, benefits, and flexibility.
Advantages of Seasonal Employment for Employees
Similar to employers, there are pros and cons that come with seasonal employment for employees.
1. Improve your resume
Seasonal employment allows employees to work in different industries and learn new skills. This is an excellent way to boost your resume, which will impress hiring managers.
2. Higher Chances of full-time employment
If you start working as a seasonal employee at a company, it can increase your chances of becoming a permanent employee if you can show your diverse skill set and that you will be an asset to the organization.
3. Reduce gaps in your employment history
Gaps in your career history may negatively affect how hiring managers see you as a candidate. Seasonal jobs provide the chance to fill up any gaps, so you have constant work.
4. Source of extra money (and maybe discounts)
Seasonal jobs are great sources of extra money. It’s the best way to get money quickly to supplement your regular job or to earn money over the summer before school starts.
Additionally, many seasonal employers frequently offer discounts to seasonal workers.
Disadvantages of Seasonal Employment for Employees
1. Intense Work Schedule
Many seasonal workers may need to work at inconvenient times or work more than full-time jobs. For example, during a particular season, if a company sees the most customers visiting on weekends, it may ask its temp employees to work long hours on Saturdays and Sundays.
2. Minimal Training
The fact that many temp jobs offer little to no training is another drawback of seasonal jobs. Temp workers are required to pick up on their responsibilities quickly and adjust to the surroundings on their own.
3. Reduced Pay
Seasonal jobs typically don’t ask for previous experience, skills, or training, so it is likely that employers can pay them lower than full-time positions.
Laws and Regulations for Seasonal Employment
The Fair Labor Rules Act, which sets minimum wage, recordkeeping, overtime compensation, and youth employment standards, applies to seasonal employment.
Employers are required to pay seasonal workers the federal minimum wage, which is $7.25 per hour now. There are minimum wage regulations in several states. Employees are entitled to a greater minimum pay in situations where they are subject to both state and federal minimum wage laws.
Seasonal employees who clock in more than 40 hours per week must receive overtime pay for the extra hours. The overtime pay rate is one and one-half times their regular pay rate.
Seasonal employment is subject to federal child labor laws. Children who are 14 and 15 years old can only work a certain number of hours per week in permitted occupations. There are no federal limits on the number of hours worked beginning at 16, but 16- and 17-year-olds can not work in occupations declared hazardous by the Secretary of Labor.
Seasonal workers are subject to the same tax withholding rules as regular workers.