It’s that time of year again. The festive season is here, and retailers across Australia are gearing up for the rush. Australian businesses are ramping up hiring to meet the demand during peak retail season. From Black Friday to Boxing Day, it’s not just about winning customers – it’s also about winning talent. 

With a tight labour market and evolving workforce expectations, hiring becomes a complex task. The big question? Not just how many people to hire, but how to hire them. Should you go casual, offer short-term contracts, or bring on permanent staff? A recent research from the ACTU reveals that over 60% of casual workers have been in the same job for more than a year. This is contradictory to the idea that casual work is always short-term or flexible. And it shows how important it is to match your hiring model to the real nature of the work. 

This blog explores the positives and negatives of each employment model, supported by current trends and compliance considerations, to help you make informed decisions. 

 

Why employment models matter more than ever

Retail hiring in Australia is shifting. Casual roles used to be the go-to for seasonal spikes. But new laws and changing worker expectations are forcing businesses to rethink. 

Recent data shows that job postings for “Christmas casual” positions peaked in October 2024. However, vacancy rates are still 65% higher than they were before the pandemic. Employers are offering bonuses, flexible hours, and staff discounts to attract workers, but many still find it hard to fill positions. 

And then there’s the Fair Work Act. It has tightened rules around casual employment including pathways to convert to permanent roles and a focus on the actual working relationship, not just the contract. Yet, the ACTU found that only a small number of eligible workers (1 in 15) are offered or accept permanent positions. This gap between policy and practice shows that employers need to closely evaluate their workforce structure, especially in retail and hospitality, where there are the most long-term casual workers. 

 

Understanding Your Options: Casual, Contract, or Permanent?

Here’s a quick guide to the three main types of jobs in retail: 

Employment model Key features Suitable for 
Casual No set hours. Higher pay per hour. Very flexible. Busy weekends, short-term rushes 
Contract Fixed-term, project-based, often full-time. Pop-ups, promotional events, store launches 
Permanent Ongoing employment, full entitlements, notice periods. Flagship stores, brand ambassadors, leadership roles. 

 

Strategic Considerations

Choosing between casual, contract, and permanent roles isn’t just a compliance decision – it is about aligning your workforce with your business goals, operational realities, and the expectations of today’s retail employees. 

  • Casual roles offer flexibility and are cost-effective for short bursts of activity. However, they can also contribute to financial stress and job insecurity. The ACTU reports that casual workers are twice as likely to experience financial hardship compared to permanent employees. For customer-facing roles, this can impact morale, performance, and retention. Employers should ensure they issue the Casual Employment Information Statement and review eligibility for conversion. Tip: Consider whether the role is genuinely irregular or if it follows a predictable pattern that may be better suited to a contract or permanent arrangement. 
  • Contract roles are ideal for defined projects or campaigns. They offer structure and clarity but may require more onboarding and administrative oversight. Use contracts to cover specific needs like visual merchandising or event staffing. Tip: Make sure contract durations align with business needs and allow enough time for onboarding and training to ensure productivity from day one. 
  • Permanent roles provide stability and help build brand culture. They are well-suited for positions that require deep product knowledge or leadership. Investing in permanent staff can also help address the “permanently temporary” sentiment many casual workers report, fostering loyalty and long-term engagement. Tip: Use permanent roles strategically for positions that directly influence customer experience or require continuity across seasons. 

Compliance matters!

Misclassifying employees can lead to back pay, penalties, and reputational damage. Under the Fair Work Act: 

  • Casuals must be offered conversion after 6-12 months of regular work. 
  • Contracts must reflect the actual nature of the role. 
  • Award interpretation is critical, especially under the General Retail Industry Award. 

Here’s a quick checklist to ensure you are not missing out on key steps:

Retail hiring checklist

 

Conclusion: The Right Mix Makes All the Difference

The holidays are a big chance to grow your business – but only if your team is ready. Choosing the right type of job helps you stay flexible, follow the rules, and keep your customers happy. 

Need help? Polyglot works with retailers to make hiring easier. Whether you’re new to the Australian market or growing fast, we can help you: 

    • Choose the right employment model for your needs 
    • Handle HR and payroll 

Retail hiring can be tricky. We make it simple. 

 

About the Author:

Murielle is a seasoned Human Resources leader with over 20 years of international experience, specialising in talent acquisition and human capital development. As a passionate advocate for HR technology, she leverages innovative tech solutions to enhance and streamline recruitment processes. Murielle is currently the Global Head of Talent Acquisition at the Polyglot Group. Known for her strategic vision and ability to drive change, she is a valuable asset in attracting and retaining top talent.
Read more about Murielle Weyers.

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