Every small business has its ups and downs. However, some can be more pronounced than others. Some businesses experience cyclical alterations in sales volume. As a recent article notes, for some businesses in the New York City area, one answer that has provided some relief to this variability has been seasonal workers.
Seasonal employees are an attractive option for employers because they are only hired for the busy season. When times are busy and customers are plentiful, seasonal workers are ready to work. In down seasons when money is tighter and sales are harder to make, businesses can simply let these employees go. While hiring for short periods helps the budget, it also adds to the complexity of payroll processing.
How are seasonal employees good for small business?
Some businesses consistently use this strategy to maintain a manageable payroll expense. For example, retail businesses have been hiring seasonal employees for years. The holiday season (between Thanksgiving and Christmas) has traditionally been significantly busier for retail employers. Therefore, many businesses need to add extra staff during this season.
There are other seasons that can be busy for different businesses. Some businesses may experience higher volumes during the summertime. In Indianapolis, some businesses may have increased sales during the race season. They may find that the month of May is extraordinarily busy due to the Indy 500. Each business needs to look at the volume of sales over the course of the year and determine any patterns.
What’s the downside of employing seasonal workers?
One challenge with this strategy for a small business is finding quality employees for their workplace who are willing to work for just a season and then motivating them to do a good job. An article in Forbes provides some tips for inspiring better performance in seasonal workers. One suggestion given in the article is to break up training into smaller chunks rather than doing it all at once. Another is to let workers know that they are appreciated. Overall, though, the best thing that you can do to motivate all workers, seasonal and otherwise, is to invest in good managers and staff development. (Notice that this article also gives a nod to Southern Indiana’s Holiday World, which does an exceptional job of motivating their seasonal workers.)
As a small business owner, you certainly do have a lot on your mind – all year long. Seasonal employees mean added payroll concerns and time setting them up on your payroll and removing them at the end of the season. Outsourcing your payroll services could be the perfect solution for you all year long! If you don’t want the hassle of overseeing payroll yourself, The Payroll Department can do it for you. We can make setting up new employees and removing them fast and easy. You probably won’t mind the entire process at all.
Call Teresa Ray today at 317-852-2568 to see how we can simplify your life by taking over your payroll operation and being your payroll provider for every season of the year.
-Jessica of The Payroll Department Blog Team