Deputy’s Hourly Work Index for November revealed a surprising decline in the Retail sector’s performance during what is typically the busiest sales period of the year.
New retail hires dropped by 20.84 per cent, while shifts worked fell by 5.76 per cent and total hours worked decreased by 7.28 per cent.
These declines reflect shifting consumer behavior as demand for in-store shopping wanes in favor of e-commerce platforms, especially during the Black Friday sales period.
The Delivery sector, in contrast, experienced a notable increase in activity, recording an average uptick of 2.5 more hours worked per week compared to the previous month.
This growth was driven by extended Black Friday sales, early holiday shopping, and increasing reliance on delivery services as consumers preferred online purchases over visiting brick-and-mortar stores.
The Hourly Work Index further noted an improvement in predictable scheduling for workers across sectors.
Retail employees received an average of 3.93 days’ notice before their next scheduled shift, up from 3.66 days in October.
Service sector workers also saw slight improvements, with 3.47 days’ notice provided on average.
The focus on advanced scheduling reflects efforts to provide workers with stability during a period of fluctuating demand.
The Beauty sector, however, faced its own challenges in November, recording a 7.12 per cent drop in shifts worked and an 8.59 per cent decline in hours worked compared to October.
The data suggests that consumers are tightening discretionary spending, possibly prioritizing holiday shopping over personal services.
It is anticipated that beauty appointments may rebound in December as consumers prepare for year-end parties and holiday events.
Deputy CFO Emma Seymour emphasized the challenges seasonal labor markets face, particularly in sectors like retail.
“Peaks in demand, such as the end-of-year holiday rush, often bring intense workloads and staffing pressures on shift workers, which can be followed by comparatively slower periods with reduced staffing needs.
This recurring trend underscores the need for greater support and stability for this essential workforce.”
While retail demand continues to shift online, traditional shopping districts reliant on in-store foot traffic could face significant economic challenges.
Businesses in these areas, including food courts, cafes, and transportation services, may see reduced revenue as fewer consumers visit physical stores.
This decline in vibrancy may have long-term effects on local economies if trends persist.
At the same time, the Australian Competition and Consumer Commission (ACCC) raised concerns over misleading sales practices during the recent Black Friday sales period.
A recent sweep conducted by the ACCC found numerous instances of questionable advertising tactics, including “sitewide” discount claims that excluded a range of products, misleading “was/now” pricing, and inflated discounts based on outdated Recommended Retail Prices (RRPs).
Catriona Lowe, ACCC Deputy Chair, highlighted the findings, stating, “We are further considering some of these examples for investigation and action, and the ACCC has already asked a number of retailers to justify their advertising claims. In the meantime, we are warning retailers ahead of post-Christmas sales that they must comply with Australian Consumer Law in all the claims they make.”
The ACCC’s investigation revealed troubling practices where businesses inflated prices before sales to create the illusion of significant discounts.
Some advertisements promoted “up to X per cent off” claims without clearly indicating that only a small fraction of items were discounted to the stated level.
Misleading practices were also found in promotions labeled “storewide” or “sitewide” when numerous products were excluded from the sale.
The Commission reiterated that businesses must ensure their pricing claims do not mislead consumers, particularly during major sales events when consumers rely heavily on discounts to save money. Transparency in advertising remains critical, particularly as cost-of-living pressures drive consumers to seek out deals during the holiday season.
Emma Seymour underscored the importance of focusing on long-term sustainability for the workforce rather than short-term gains.
“While the recent growth in the delivery services sector is encouraging, it also highlights the importance of focusing on long-term sustainability, particularly around talent retention, rather than short-term gains.”
The ACCC also pointed to concerns surrounding “recommended retail pricing” claims, where products are marketed against an RRP that has not been used as a sale price for a reasonable period.
This tactic can mislead consumers into believing they are receiving a better discount than they actually are. Retailers have been cautioned to align their advertising with Australian Consumer Law to avoid penalties.
With the increased focus on the shift toward online sales and delivery services, Deputy’s Hourly Work Index data shows that sectors traditionally reliant on in-person engagement, such as retail and beauty, face mounting pressure to adapt to changing consumer behaviors.
This shift highlights the need for businesses to balance staffing levels with demand fluctuations while ensuring compliance with regulatory standards.
The ACCC’s findings also emphasized the importance of protecting consumer trust.
By promoting fair and transparent advertising practices, retailers can ensure long-term loyalty from customers while avoiding potential legal challenges.
At the same time, businesses are encouraged to develop sustainable strategies that support both employees and consumers during seasonal peaks and economic pressures.
Both Deputy’s Hourly Work Index and the ACCC’s investigation reflect evolving challenges in the Australian market, from workforce dynamics to ethical advertising practices.
Together, these insights underscore the need for businesses to address shifting trends, invest in workforce stability, and uphold transparency in their operations to meet the expectations of both employees and consumers.
Media & PR: editor@dailystraits.com. Copyright 2021–Present DailyStraits.com. All rights reserved.