Retail hiring tips, advice and why data is crucial

Retail hiring tips, advice and why data is crucial

Bart Lautenbach, senior vice president and general manager of talent solutions for Equifax Workforce Solutions, shares insight on how technology, specifically data, can help hiring teams make smarter decisions.

The retail industry, the largest private-sector employer in the U.S., does a lot of hiring as six in 10 Americans have worked a retail job, according to the National Retail Federation.

Hiring, as well as employee retention, is one of the most costly factors in operations, as any company knows, so smart hiring strategies are critical to the bottom line. This is especially true in retail given retailers hire year round and often double those efforts in the crucial holiday season. Last year, for example, Target hired about 100,000 seasonal workers.

So improving the hiring strategy is a year-round focus for any retailer. To get expert insight on the do's and the don'ts in hiring retail employees RetailCustomerExperience.com reached out to Bart Lautenbach, senior vice president and general manager of talent solutions for Equifax Workforce Solutions, in an email interview.

Q. What is the retail hiring landscape at this point? Does the environment make it easier or harder for retailers to hire?

Lautenbach: It's challenging to find qualified candidates for positions in any industry, which makes it crucial to prioritize making the best possible hiring decisions.
The changing retail landscape does mean that there might be a larger pool of applicants for hiring retailers, and an abundance of potential employees may create the opportunity — and the luxury — to be more selective in hiring processes. However, when retailers have more applicants, it becomes even more important to identify the candidates who have the right experience and qualities.
One crucial quality to consider is employment tenure. With 88% of organizations concerned about retention, it's essential to prioritize hiring individuals who are more likely to stay with the company for a longer time. In the retail landscape, where many positions are hourly roles, leveraging data that identifies patterns in tenure may help retailers identify the candidates who are likely to remain with the company longer, which can potentially lead to improved retention, saved hiring costs, and more long-term stability and success.

Q. What should retail leaders be looking for in a new hire as the store associate role isn't what it was 10 or even five years ago?

Lautenbach: The traditional store associate role has shifted in the last decade, as associates may be expected to navigate digital tools, quickly learn new technologies, and even promote the business and products on social media. While retail has changed, the customer hasn't changed that much, and the core principles of customer service remain the same.

Customers still expect helpful, service-oriented store associates who are focused on meeting their needs. It's essential for retail leaders to prioritize exceptional customer service and maintain a strong focus on customer satisfaction throughout all of their interactions. So although digital skills are an important consideration when hiring for a retail position, I believe retail leaders should concentrate on hiring candidates who are more likely to stay at the company long-term.

Q. What specific technologies can help with the hiring and recruitment process?

Lautenbach: In the hiring and recruitment process, it's important to use data to make better informed decisions about whether a candidate might be right for a role. It's estimated that 40% of people lie on their resumes, so having validated, verified data about a candidate's employment and education can help ensure that a candidate's experience is right for the role. I recommend using a pre-employment verification solution that can help instantly verify a candidate's employment history and education.

Additionally, in roles that demand a high level of trust, the ideal hire is someone who shows up consistently and follows through on their commitments. Partnering with a background screener to conduct background checks as part of the pre-hire process can give employers greater confidence that a candidate is the right fit for a role.

There are a lot of factors that impact the hiring and recruiting process, and data is a great complement to other intakes that retailers get throughout the hiring process. This includes data you've collected internally, as well as data or information provided by background screeners or pre-employment verifiers. Equifax research shows that companies in the retail industry that completed pre-employment verifications saw on average a 63% increase in one-year retention, which indicates that it's important to anchor hiring decisions in data.

Q. Is there any specific strategy to cement full time hires (from seasonal workforce) in the early new year?

Lautenbach: When retailers are considering how to create full-time hires from part-timers, they need to consider that some part-time employees may not have the time — or the desire — to be promoted to a full-time position. For example, schedule and course load fluctuations can impact the availability of student part-time employees.

Semester-related schedule changes often lead to part-time employee turnover, so retail leaders should be aware that students in part-time roles may not be able to work full-time. In short, many part-time employees are a different type of candidate than those who are looking for full-time work. However, hiring long-time, consistent part-time employees is positive, as is having seasonal part-time employees come back year after year.

Still, hiring a candidate as a part-time employee first can help retail leaders, and the employees themselves, decide if a full-time role is the right fit for them. It's important to identify and engage those seasonal employees who have the potential and interest to transition into full-time roles.