Target is a large retail company worldwide. Their net worth is 2.937 billion dollars with a number of 360,000 employees. When COVID struck in 2019 putting million san billions of lives in danger, Target said they will double their workers to work in warehouses.
Number of Employees Formerly
The number of employees at the start of 2020 was 368,000, 8000 workers more than in 2019. Target released its statement in October 2020, stating they will double their employees for contactless working. As the holiday season arrives, many people shop more online to avoid crowds. Target is one of the retailers who benefitted from the pandemic – shifting stores online. These employees were burdened with a lot more work as peak season came.
Increase in Sales in Holiday Season
This time of year is always a busy time for both shoppers and buyers. Even during the pandemic, exchanging gifts is a must. Deloitte estimated online sales to increase by 25% or 30%. This will be a large rise in the online market. The competition is also increasing due to stores converting to online business a lot. This may be recorded as a huge expansion in the demand and supply of products.
Same Day Collection of Products
More than 10 million customers have shopped on Target and chosen to receive their products on the same day. This caused a riot in the shops and between the staff. They had to train more staff in delivering the goods on the same day. Stores were understaffed due to deliveries and pickup, hence Target decided to increase seasonal staff.
Extra Inventory for In-Demand supplies
Distributors of the company are sending more products to keep the in-demand stock full. Online shopping is making more sales than regular shopping. It gives buyers a quick way to shop without moving. Online shopping means more customers which then results in fewer supplies. If in case the supplies get finished, it could result in buyers shifting their preference. With extra supplies in the inventory, it could help prevent losing customers.
Staff pay before and after COVID-19
Staff pay ranged from $10.62 to $20.52 an hour as of 1st of October this year. Target announced they will be permanently increasing their minimum wage of 13 dollars to 15 dollars. These wages were increased starting from the 5th of July. The company also revealed they will present the workers with a 200 dollars bonus once. Temporarily, the workers are being paid an extra 2 dollars for each hour in hazard pay. This move helped the 278,000 workers in their stores and distribution centers.
Wages and Benefits for Seasonal Employees
The retailer said they will be evaluating the hours their existing workers would like to take before hiring seasonal employees. Target corporates extra staff to lessen the burden on their employees. These workers will be given the same wages and benefits being provided to others. The wage for seasonal employees is 15 dollars per hour. The benefits will be including healthcare, childcare, and elderly care. They will be entitled to virtual visits by doctors, protective equipment against the coronavirus, mental health care. A paid leave of two weeks is also put aside for workers showing symptoms of the coronavirus.
An advantage for Employees Fired
This is an advantage for all the employees fired from other companies due to the outbreak of COVID 19. Hourly pay of 15 dollars can help people feed their families if not lavishly. The benefits being given are another reason to work in their stores. The COVID precautions being taken by Target Company are assuring enough to trust their management. A good amount of employees were fired when businesses went bankrupt during the coronavirus pandemic.
Will hiring more workers cause problems for old ones?
Target revealed its plan to corporate extra staff for the holiday season. This became a path for employees who were recently fired from their companies. Their sales had already quadrupled before the holidays were near. It had caused some workers to work harder than before, especially the ones doing deliveries. They envisioned what would happen when the holidays came. Therefore, they decided to hire more staff for restocking, distributing, and delivering. They gave around 300 million dollars in bonuses, hazard pay, etc. to its workers in the hard times. I do not think hiring more staff will lessen the pays of older workers. This company has proved to be thoughtful of the employees and associates. The wages and benefits are just another advantages of working in the company.
Other Retailers hiring extra staff
Other retailers like Walmart, Amazon, Kroger, American Bakers Association, Instacart, PepsiCo, Papa Johns, and many more worldwide companies opened positions for unemployed people. An estimate was given by the Economic Policy Institute; 3 million jobs may be eliminated by the end of summer due to the pandemic. Many employees voiced their concerns on social media platforms, which led to employers opening up positions for extra staff. The staff hired was for associates in sales, distribution workers, as well as drivers for deliveries. Many of these required no background experience. This was not completely a selfless deed done by the companies; this helped ease the companies dealing with panicked buyers stocking up on items.
COVID Precautions Being Taken by Target
Target is not hiring more employees without a plan. Their initiative to hire more employees was backed up by the precautions they take to prevent getting ill. The precautions they are taking include wearing face masks, being sanitized, and a limited quantity of products in demand. They have been taking out more time to clean their stores every day. The shelves and counters are sanitized after every 30 minutes at least. A Plexiglas has been put up on counters to restrict germs from spreading. The distance between customers is monitored as well. The company did not only think about the healthy ones; a dedicated time is set for customers and team members who are vulnerable. In-store returns and exchanges are suspended for the time being.
- 1 Number of Employees Formerly
- 2 Increase in Sales in Holiday Season
- 3 Same Day Collection of Products
- 4 Extra Inventory for In-Demand supplies
- 5 Staff pay before and after COVID-19
- 6 Wages and Benefits for Seasonal Employees
- 7 An advantage for Employees Fired
- 8 Will hiring more workers cause problems for old ones?
- 9 Other Retailers hiring extra staff
- 10 COVID Precautions Being Taken by Target