SpotlightNovember&December 2021

Spotlight on Business Headlines

TARGET WILL KEEP STORES CLOSED ON TURKEY DAY T arget distribution and call centers will have some staff on Thanksgiving Day, but its stores will no longer be open. Most retailers last year were forced to turn what has become a weekend shopping blitz into an extended event with holiday sales begin - ning as early as October to limit the number of people in stores during the pandemic. However, it turned out to be a good move and the new standard at Target, could push other retailers to follow in its path.

RETAILERS LOOK TO STAFF UP A recent poll from the National Federation of Independent Business found nearly half of owners it surveyed were experiencing either significant or moderate staffing challenges. Accord - ing to the NFIB, 48% of small businesses say supply chain disruptions are having a significant impact. Of those who rely on holiday sales for a significant part of yearly revenue, 38% anticipate such shortages will impact sales. The National Retail Federation, which expects a solid holiday season, with sales during November and December projected to rise between 8.5% and 10.5% for a total of between $843.4 billion and $859 billion of sales. The projection tops last year’s numbers and would mark a new all-time high, even as a triple whammy of labor shortages, supply chain woes and inflation hit companies nationwide.

ECONOMIC PRESSURES STRESSING RESTAURANT OWNER

R estaurants around the U.S. were looking forward to the economy’s reopening over the last few months, as Covid vaccines became more wide - spread and pent-up consumer demand has people wanted to get life back to normal. However, supply chain disruptions, labor shortages and rising costs are hitting the industry as the contagious delta variant clouds hopes of a return to normalcy. Food, restaurant and hospitality small business owners are more worried than most about the pan - demic’s continued disruptions to operations, with 84% of the business owners in these sectors are con - cerned about the impact of rising Covid-19 infection rates on business, compared with 75% of the overall small business population. And nearly all have seen an increase in operating costs, with 93% saying inflation - ary pressures have risen since June, having negative effects on finances.

RETIREES ARE ‘UNRETIRING’

R etirees are coming out of retirement, and that’s a good sign for the labor market. Early retirements among older Americans were among the many labor distortions related to the Covid-19 pandemic, according to economists, as health risks and other factors led many to leave their jobs. But there’s an open question: Are these retirements permanent, or will these workers rejoin the labor force? The answer could have big implications for the U.S. economy and even the finances of everyday Americans, at a time when overall labor force participation has remained stubbornly low.

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NOVEMBER/DECEMBER 2021 • SPOTLIGHT ON BUSINESS MAGAZINE

SPOTLIGHT ON BUSINESS MAGAZINE • NOVEMBER/DECEMBER 2021

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