With the minimum wage climbing again and a new PRSI increase and pension auto-enrolment on the way, retailers are already counting every euro. And just as labour costs peak, the busiest season of the year rolls around. It’s called the silly season for a reason; not just because of festive madness on the shop floor, but because of how easily costs can spiral if stores aren’t strategic about hiring and retention.
For many, this Christmas will be a test of how to do more with less. The good news is that there are smart, realistic ways to reduce recruitment spend and hold onto your best people, even when your wage bill is already under pressure.
1. Start with who you know
The cheapest, fastest route to great staff is usually the people you already have. Referrals are gold. A small reward: a voucher, a half day off, or even public recognition, can encourage existing staff to recommend friends or relatives who’ll fit in well. Not only does it cut ad spend, but it usually delivers stronger hires who are easier to retain.
Likewise, rehire last year’s seasonal team. They already know your store, your customers, and your systems. Even if a few have moved on, many will happily return for the extra Christmas cash. It saves you training time, reduces mistakes, and gives the team a head start before December chaos hits.
2. Upskill before you upsize
Before rushing to hire extra staff, look at who’s already on your books. Could a strong part-timer handle extra shifts or take on keyholder duties? Could a deli assistant be trained to close the department or store one night a week? Small, temporary promotions can keep employees motivated while saving you the cost of a new hire. It also builds future leaders, and in this labour market, succession planning is as valuable as sales planning.
3. Get smarter about how you hire
When it comes to advertising, focus on visibility, not volume. Target local Facebook groups, noticeboards, and community WhatsApp chats instead of expensive internet job boards. Be clear and concise about the hours, pay, and benefits in your advertisements; transparency saves time and weeds out unsuitable applicants early.
Group interviews or open recruitment days can also save hours of admin. Interviewing several candidates together speeds up the process and gives you a quick sense of who’s confident, reliable, and customer focused. And partner with a trusted recruiter early; December panic hiring often costs more than steady planning in October.
4. Recognise that retention is your cheapest recruitment strategy
It’s far more cost-effective to keep the people you already have than to replace them. Small gestures can make a big difference: staff raffles, free coffees on long shifts, a “December Hero” board, or even just saying thank you publicly.
Flexibility is another key factor. Offering staff a little choice—finishing early for a school play or swapping shifts for a family event—costs nothing but builds huge goodwill. After all, this is the time of year when staff are giving up their weekends, their evenings, and sometimes their patience. A bit of flexibility easily balances that energy.
5. Crunch the numbers and the culture
Retaining good employees can save thousands in ad spend, training, and lost productivity. Multiply that across your store and the savings are substantial. And while the cost of labour keeps increasing, how you build costs very little. Create an environment people want to stay in, and your recruitment budget will thank you for it.
This Christmas, everyone’s energy and cash are squeezed, but they can outsmart it. Focus on your people, plan early, and make every hire and every hour count. Because when margins are tight, the cleverest way to manage your team is where the real return on investment lies.
