Home Depot weighs hiring pressure as jobless claims edge higher

A labor market that is still holding together does not give Home Depot associates much breathing room. Initial jobless claims rose by 12,000 to 211,000 for the week ended May 9, a reading that points to stability rather than a surge in hiring, and that kind of backdrop can make store jobs feel secure without making them easier to keep.

For associates, that matters because a steady labor market usually preserves options. Workers who think their schedule is shaky, their training is thin or their path upward is blocked can still look elsewhere, which puts more pressure on wages, benefits and the quality of day-to-day management. Home Depot says it is investing in competitive wages and benefits, along with culture, tools, training and development, to attract and retain associates, a reminder that retention is now part of the job on every aisle and in every department.

The company has the scale to feel those shifts quickly. Home Depot says it operates 2,028 stores in the U.S. and territories, 182 in Canada and 140 in Mexico, and describes itself as the world’s largest home improvement retailer. Its fiscal 2025 sales reached $164.7 billion, comparable sales increased 0.3%, and U.S. comparable sales rose 0.5%. Net earnings for the year came in at $14.2 billion, or $14.23 per diluted share. In February, the company said that after adjusting for storms, underlying demand was relatively stable throughout the year.

That stable-but-not-booming picture is the reality check for store teams. Shoppers may still have jobs and income, but they are not acting like consumers in a carefree market. Home Depot has said elevated interest rates, pressured housing affordability and general economic uncertainty have weighed on growth. On the floor, that often shows up as customers asking more about value, financing, delivery timing and whether a project can be split into phases instead of done all at once.

Managers should expect the customer mix to stay active but cautious. Big-ticket renovations can still move, but they are more likely to come with price comparisons and slower decisions, which puts a premium on associates who can explain products, build trust with contractors and help homeowners weigh tradeoffs without losing the sale. That makes experienced workers especially valuable at the very moment the labor market is stable enough for them to consider other options.

Home Depot’s preliminary fiscal 2026 outlook, set in December, assumed the home improvement market would range from minus 1% to plus 1%. For workers, that is the clearest sign of the moment: not a downturn, not a boom, but a narrow band where retaining skilled associates matters almost as much as finding them.