Santa economy hit hard in US amid worker shortages

The dearth of Santas comes as the US unemployment rate fell more than forecast last month.

America’s labour shortage has spread to the Santa Claus economy.

Like other industries, demand for workers in this sector has surged as Americans try to return to pre-pandemic life. 

There are about 3,000 open positions across the country for Santa look-a-likes at shopping centres, homes, and corporate events, according to Mitch Allen, founder of Dallas-based talent agency HireSanta. 

The dearth of Santas comes as the US unemployment rate fell more than forecast last month.

At the same time, the pool of available entertainers has declined by about 10% this year, Mr Allen said. 

It is an older cohort that has been hit hard by Covid-19. 

More than 300 Santa entertainers have died from the virus, according to data collected by Mr Allen. 

Many more have been scared away by the pandemic. And just like other fields, wages are rising to lure more workers. Pay has increased as much as 15% to $10,000 (€8,625) for the Christmas holiday season, he said.

“We ran out of Santas,” said Mr Allen, whose company has been struggling since October to find workers willing to don that famous red suit.

Santa has long been a tool for stores and shopping centres to attract customers.

And in the e-commerce era, with retailers desperate to draw crowds, St Nick has become even more important, leading to a Santa boom over the past decade. 

He used to only show up in department stores, but more recently he’s been found at a large number of US retail chains. 

To stand out, some US shopping centres invested more in their Santa experiences, turning them into Christmas villages that feature children’s movie franchises like “Shrek” and “Frozen.” 

But as Covid soared last year, Santa experiences changed to virtual meets. 

The in-person attractions that remained came with social distancing measures.