Seasonal Retail Jobs Are Shrinking: Here’s Your Holiday Income Backup Plan
Seasonal jobs are a way that many Americans bring in some extra income around the holidays, and there is always someone hiring. In 2026, those opportunities may be fewer. Retailers are expected to add fewer jobs during the fourth quarter of 2026 than they did in either of the past two years, according to Challenger, Gray & Christmas.
A shrinking market doesn’t mean that holiday work has disappeared. Here are some ways to make sure you have the best chance of pulling down some holiday cash.
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Why Is Seasonal Retail Hiring Down?
According to the Challenger report, instead of making large, seasonal hiring commitments, retailers appear to be relying more heavily on existing workers and on-demand labor pools. In some cases, store owners are simply leaning on their current employees to handle excess work.
Typically, this is an economic choice. Existing workers don’t require onboarding or training, and they’re often more efficient than seasonal hires coming into an unfamiliar environment.
Delivery Work Could Pick Up Some of the Slack
The rise of e-commerce may have slowed the growth of business in physical stores, but those transactions are not simply going away. Every package purchased online needs someone to deliver it, creating opportunities in other areas of the market.
The Bureau of Labor Statistics projects employment for delivery truck drivers and driver/sales workers to grow 7% between 2025 and 2035, with an average of 152,700 openings per year. That’s a growth rate more than double the 3% projected average for all occupations.
Seasonal workers don’t factor into that specific projection, but the growth in e-commerce that’s increasing the demand for delivery workers overall will likely also boost the hiring of drivers during the holiday period.
Food Service Can Be Another Option
Restaurants and other food-service businesses can also provide part-time work, particularly for people trying to fit extra shifts around a regular job.
The Bureau of Labor Statistics projects employment for food and beverage serving workers to grow 5% through 2035. One advantage for those with an existing job is that the demand for food service workers often peaks during the evenings, weekends and holidays, making it an excellent potential option for someone seeking supplemental work.
The barrier to entry can also be relatively low. BLS said these jobs typically don’t require formal education or previous work experience, with most training provided on the job.
Gig Work Offers More Flexibility
The very reason that gig work is attractive is that it’s flexible. If you’re a gig worker, you can generally work when you want to rather than being forced into a traditional schedule. You’re essentially your own boss, making yourself available for work when the time best suits you.
The IRS Gig Economy Tax Center lists rideshare driving, deliveries, running errands, selling goods online, and freelance services as common examples of gig work.
Some of this freedom comes with a cost. If you work as a driver, for example, you won’t have a company paying for your gas and insurance. Those expenses will come directly out of the money you earn.
You might also face a tax bill that’s higher and a tax-filing process that’s more complicated than you’re used to. Gig income is almost always taxable, and as an independent contractor, you may even have to pay self-employment tax and make estimated tax payments.
Seasonal hiring may be down, but there will still be literally hundreds of thousands of openings in the 2026 holiday season. Your best chance at securing some work is to apply early and not limit yourself to a single “make-or-break” option. Having backup options in your pocket is a good way to help ensure you’ll end up with some extra money for the holidays.
This article was provided by MoneyLion.com for informational purposes only and should not be construed as financial, legal or tax advice.
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