Making Retail an Attractive Long-Term Career Choice

"In the United States, employment for retail and hospitality finally recovered to pre-pandemic levels in September 2023 but still lags employment in other industries,” McKinsey & Company said in a report.

This slow pace of recovery is attributable to several factors. Retail workers who lost their jobs during the pandemic shifted to other industries, creating a shortage of potential candidates. Even when stores opened, retail employees were deterred by in-person work or reluctant to give up the new-found flexibility of jobs in the gig economy.

Furthermore, "data continues to show that retailers’ employee value propositions are not meeting workers’ needs,” said McKinsey. Other factors, such as the changing face of retail talent, have made traditional hiring practices obsolete,

HR leaders at retail organizations face the challenges of not only attracting top talent but also positioning retail as a desirable long-term career choice. In this article, we’ll explore creative solutions for making retail a long-term career choice for candidates.

The Changing Face of Retail Talent

The retail talent pool is evolving rapidly, with new skills and expectations emerging among potential candidates. Candidates themselves are also entering the workforce with different expectations. This is especially true of younger candidates, who are much more tech-savvy than their older counterparts.

Retailers that emphasize their use of groundbreaking technologies like AI could see more interest from candidates, for example. Sourcing candidates based on technology specifications could also help with future initiatives.

According to a 2024 study by eTail Insights, 72% of retail leaders said internal acceptance and adoption of AI technology have been significant implementation challenges. Similarly, 81% said the same thing about obtaining AI skills internally, including 36% who said this was a "very significant” challenge.

To attract the best talent, HR leaders need to understand and adapt to these changes:

• Tech-savvy workforce: Today's retail employees need to be comfortable with technology, from point-of-sale systems to inventory management software.
• Customer experience focus: With the rise of e-commerce, in-store experiences are becoming more critical, requiring employees with strong interpersonal skills.
• Data-driven decision-making: Retail now relies heavily on data analytics, creating a demand for employees who can interpret and act on data insights.
• Omnichannel expertise: Candidates with experience in both digital and physical retail environments are increasingly valuable.

To attract talent within this transforming pool, retail organizations must highlight the industry's technological advancements and the opportunity to develop diverse skills that span both traditional and digital retail, as well as other forms of employment.

Positioning Retail as a Desirable Career Path

To position retail as a desirable industry for high-quality talent to build a career, organizations must focus on highlighting the unique advantages and growth opportunities within the sector:

• Emphasize career progression: Retail offers diverse paths for advancement, from entry-level positions to management roles. Many successful executives started on the sales floor, demonstrating the potential for long-term career growth.
• Showcase skill development: Retail jobs provide opportunities to develop valuable, transferable skills such as customer service, problem-solving, and teamwork. These skills are highly sought after in many industries, making retail experience a valuable asset.
• Highlight technological innovation: Modern retail environments incorporate cutting-edge technologies like AI-powered inventory management systems and data analytics tools. Emphasize how employees can gain expertise in these areas, positioning themselves for future tech-focused roles.
• Promote work-life balance: Many retail chains now offer flexible scheduling options and part-time opportunities, allowing employees to balance work with personal commitments or educational pursuits.
• Stress the importance of retail to the economy: Retail supports one in four American jobs, underscoring its significance and stability as a career choice.
• Offer competitive compensation: Organizations can incentivize applications by offering starting wages that are above industry averages in specific locations. They can also provide pathways to increase pay through merit-based achievements or other initiatives.
• Provide clear pathways for advancement: Implement and promote management training programs and apprenticeships that allow employees to see a clear trajectory for their careers within the organization.
• Market the dynamic nature of retail: The retail industry is constantly evolving, offering employees the chance to adapt to new trends, technologies, and consumer behaviors. This dynamic environment can be appealing to those seeking variety and continuous learning in their careers.

By focusing on these aspects, retail organizations can reframe the industry as an attractive, long-term career option for high-quality talent, rather than just a temporary or entry-level job opportunity.

Learning from Industry Leaders: Walmart's Talent Attraction Strategies

Walmart, as one of the world's largest retailers, has been proactive in enhancing its talent attraction and retention strategies. The retailer was also named one of the Fortune 100 "Best Companies to Work For” in 2024.

Here are some initiatives that retail HR leaders can draw inspiration from:

1. Expanded education benefits: In 2023, Walmart announced an expansion of its Live Better U education program to Canada, offering free college tuition and books to all part-time and full-time associates from their first day of employment. Associates can also access "75 online learning paths, including college preparation classes, professional certificates, and bachelor’s degrees in high-need areas like computer science, business, and cybersecurity.”
2. Technology-focused roles: Walmart has been actively recruiting for tech-focused positions, emphasizing the company's commitment to innovation and digital transformation.
3. Health and wellness focus: Walmart has enhanced its health benefits, including mental health support and telemedicine options, recognizing the importance of holistic well-being for employees.
4. Flexible scheduling: The company uses scheduling technologies that allow associates more control over their work hours, promoting better work-life balance. This technology has been in place since 2018.
5. Career development programs: Walmart has launched several programs aimed at developing future leaders within the company, including accelerated training for store managers.

Walmart can offer a significant number of benefits to employees because of its size, but some of these initiatives are applicable and scalable regardless of the size of the retail organization. Partnerships with other organizations, such as health insurance providers and mental health clinics, can empower companies to deliver more meaningful benefits to employees.

Transform Retail Talent Acquisition

As the retail industry continues to evolve, so must HR leaders’ approach to talent attraction and retention. By reimagining our employee value proposition, showcasing the dynamic nature of retail careers, and learning from industry leaders like Walmart, retailers can position the industry as an exciting, technology-driven field with ample opportunities for long-term career growth.

It's time to change the narrative and make retail a top choice for high-quality talent looking to build rewarding, diverse, and impactful careers.

To learn more about how your organization can attract top talent, don’t miss HR Retail 2025. It’s happening from April 15^th to 17^th at the JW Marriott LA Live in Los Angeles, California.

Download the agenda and get tickets today.