Summer in Central PA means fresh produce, town fairs, and, for many small business owners, an influx of seasonal workers, particularly high school and college students looking to earn extra cash. But as the temperature rises, small business owners may feel the pressure to offer wages that attract talent without putting a strain on their bottom line.
Here are a few tips to make your summer hires count and keep your best employees coming back.
Whether you are a small business hiring lifeguards, ice cream scoopers, or retail associates, setting competitive wages is more than a numbers game. It’s about understanding the market, your margins, and what motivates workers in today’s climate.
Here’s how you can confidently determine fair, attractive pay rates that keep your small business running smoothly all summer (and year) long.
Understand the Local Landscape
First, get a pulse on what others in Central PA are paying. The current minimum wage in Pennsylvania is $7.25 per hour, but let’s be honest: offering solely the minimum wage in 2025 won’t win over job candidates.
Most small businesses in the region are already paying well above the minimum wage to remain competitive and continue to attract talent. For example:
- Fast food and quick-serve restaurants in Central PA typically start around $10–$14/hour
- Seasonal retail often ranges from $11–$15/hour
- Outdoor labor or lifeguard positions can run anywhere from $13–$17/hour depending on certification and demand
Small businesses may want to consider researching local job boards, such as Indeed and Chamber of Commerce updates, or even take a walk around town and peek at “Now Hiring” signs to get a feel for pay ranges. Competitive pay in Central Pennsylvania starts with competitor research.
Don’t Forget About Perception
Wages aren’t just about dollars for employees. They’re also about how those dollars make your employees feel. A difference of just $0.50 per hour might seem small to a business owner, but to a student working 30 hours a week, it adds up quickly.
If your small business is known for offering slightly better-than-average pay, you’ll:
- Attract candidates faster
- Build goodwill in the community
- Reduce turnover and the costs of retraining
Perception also plays a role when parents get involved in the job search process for their teenagers. Parents often help teenagers evaluate job offers, especially those for first-time roles. Offering a structured pay rate and communicating it well builds trust with families in Central PA.
Consider Tiered Pay or Bonus Structures
Can’t afford to start everyone at $15 per hour? You’re not alone. One way to stay competitive while protecting your margins is to build a tiered wage structure.
Here’s how it works:
- Base pay: Start at a reasonable wage, such as $11–$13/hour
- Performance or duration bonuses: Offer a $100 bonus for completing the whole summer or for hitting specific performance goals
- Skill pay: Increase wages for employees who return year after year, take on additional responsibilities, or bring certifications, like CPR or ServeSafe
This approach rewards commitment and performance, giving employees a sense of progression while allowing your small business to manage costs more strategically.
Factor in the “Total Package”
Wages aren’t everything when it comes to attracting prospective employees. Especially with Gen Z and younger millennials, perks matter, but you don’t need to offer a traditional benefits package to make a stand.
Summer workers love:
- Flexible scheduling for beach days, sports, or family time
- Free meals or tickets (or discounted)
- Employee referral bonuses
- Fun work culture, such as having music at the shop, employee of the week, or themed days that may include dress-down days
When you promote your job openings, don’t just list the hourly rate. Emphasize these benefits to enhance the perceived value of the position and attract top job seekers.
Rehire and Retain for Next Summer
One of the smartest moves a small business can make is investing in next year’s workforce this summer. Instead of having to rehire employees every summer, build a talent pipeline.
At the end of the summer season:
- Ask standout employees if they’d like to return next year
- Offer a small raise or a guaranteed rehire status
- Get their updated contact info and keep in touch during the school year
When workers feel appreciated and well-compensated, they’re far more likely to come back and recommend your small business to their friends.
Watch Your Margins, But Think Long-Term
While it’s tempting to focus solely on cost, underpaying staff often results in high turnover, low morale, and reduced service quality, all of which can cost a small business in Central Pennsylvania more in the long run.
Think of your wage strategy as an investment in your brand, your customers’ experiences, and your business’s reputation in your community.
If you need help running payroll for seasonal workers, that’s where PaySmart comes in. We help Central PA small businesses with as little as one employee manage payroll with tools that simplify compliance and make seasonal hiring stress-free.
Small Business Owners Can Win the Wage Game
Setting competitive wages in Central PA doesn’t mean you have to pay workers an exorbitantly high rate. It means you have to think strategically. A thoughtful, reasonable pay structure, supported by great perks, respectful communication, and some hometown charm, can go a long way.
Whether you’re hiring for summer help or year-round roles, staying informed and being intentional when creating your pay strategy will set your business apart in a tight labor market.
Let this summer be your most efficient and well-staffed season yet!
Need help streamlining your payroll this summer?
PaySmart is a payroll provider located in Mechanicsburg, Pennsylvania, supporting small businesses in the Central PA region. We are dedicated to helping small businesses manage their payroll needs. To learn more information about how PaySmart may provide payroll solutions, please get in touch with us at 717-766-1777. Our New Client Concierge is waiting for you!