How to manage your business’s seasonal labour needs

The summer hiring season is approaching fast, and for many employers and businesses in Canada, that means it’s time to plan for seasonal staffing. Forecasting production to understand labour needs can be a challenge, however, being prepared from a compliance, legal, and best practice standpoint for when you have the hiring need does not need to be a struggle. Seasonal work is a massive part of Canada’s workforce. The 2025 winter holiday saw an increase in seasonal job postings up 12% from 2024, according to Indeed. To combat youth unemployment, the Government of Canada is adding 175,000 jobs and skills opportunities. Further, the Government of Canada introduced changes under the Temporary Foreign Worker Policy to support rural businesses. While you plan the workforce you need for a successful summer season ahead, we want to provide guidance on best practices to support your success. To expand your knowledge on the subject, join Powerpay HR Advisory on the upcoming webinar, May 6 2026 at 12:00-12:45PM ET via Zoom. 

How seasonal labour has shaped Canada's economy

Small businesses are major employers in Canada, accounting for approximately 46.5% of the private labour force. While small businesses are a major contributor to full- and part-time employment, many businesses also rely on seasonal, temporary, foreign, student, and other workers to fulfill their seasonal requirements. Summer can often be the busiest time for small businesses across a variety of sectors: tourism, hospitality, construction, and agriculture. Across industries there is increased demand for labour during Canada’s summer market. 

What types of short-term roles do businesses hire in Canada

Short-term work in Canada takes several forms. A federal evaluation notes that seasonal workers account for about 20% of workers in temporary employment, while term or contract roles make up about 50% and casual work about 25%. For employers, that can translate into summer students, internships, co-op placements, temporary roles or contracts, camp staff, retail associates, hospitality teams, farm workers, landscapers, and event crews.  

How to find labour for your business's seasonal opportunities 

In a labour market that was relatively steady in March 2026, with employment up by 14,000 and unemployment at 6.7%, employers still benefit from recruiting early and clearly. At the same time, returning students faced a 17.9% unemployment rate over the summer of 2025, suggesting there is talent available when businesses move fast and offer well-defined roles. Start with clear job descriptions, use written agreements where appropriate, and promote roles through appropriate channels. Job Bank says it advertises about 105,000 job postings monthly and has 300,000 employers registered. As well, the Government of Canada is adding 175,000 jobs for youth and students to provide more labour opportunities. Small businesses claim that a mismatch between the skills applicants bring and the requirements of the role are driving recruitment challenges. 

To combat recruitment challenges for small businesses seeking seasonal workers: 

• Post your available roles as soon as you have them prepared
• Promote roles through university and college job boards, the Job Bank, and other digital and/or local sources for roles
• Be clear about what the role entails
• Offer transparency about pay, hours, location, and benefits
• List your requirements from the applicant
• Have a thought-out and clear onboarding and training to ensure candidate success in early days of employment

Changes to the temporary foreign worker policy in Canada 

Small businesses in Canada face challenges when sourcing labour. For many businesses, their search to fill their workforce needs extend beyond Canada. 69% of small-to-medium-sized businesses (SMBs) claim the primary challenge for recruiting skilled employees is a shortage of qualified candidates within their sectors. Sectors most impacted by recruitment challenges include construction (77%), personal and miscellaneous services (61%), and social services (61%). The need to source temporary labour beyond Canada’s borders persists for Canada’s top employer 

To better support small businesses in rural areas, the Government of Canada has introduced temporary measures under the Temporary Foreign Worker Program for participating provinces and territories from April 1, 2026, to March 31, 2027. This means that certain employers may qualify to maintain their current proportion of low-wage temporary foreign workers, even if it is above the standard 10% cap, and may also qualify for an increased cap of 15%. 

Webinar on supporting your seasonal workforce 

To support your business’s understanding of the legal considerations involved in hiring summer and seasonal workers, Powerpay HR Advisory has put together a webinar we invite you to register for. In this session, 'Tis the Season…for Seasonal Workers, attendees will hear practical guidance, and answers to top questions employers have, such as: 

• What is considered an internship?
• Can internships be paid or unpaid?
• What is a co-op program?
• Should employers be using employment agreements?
• What are the best practices when recruiting seasonal staff?
• What is the difference, if any, between student employment and seasonal worker employment?
• Are there special health and safety considerations when employing younger workers, such as summer students?

The webinar runs May 6 2026 from 12:00-12:45PM ET on Zoom. A recording will be available after the live session for registrants.  

Join Powerpay HR Advisory webinar on seasonal labour

Whether you’re hiring for summer peaks, student placements, or broader short-term operational needs, this webinar will help you approach seasonal hiring with more confidence. Join the Powerpay HR Advisory webinar, May 6, 2026 at 12:00-12:45PM ET via Zoom, to learn how to navigate internships, co-ops, employment agreements, recruiting best practices, and seasonal worker safety. You will be able to participate in polls with other businesses, ask questions live, and learn more about the compliance and regulations involved in seasonal employment.