For eCommerce and retail operators, the holiday rush doesn’t end on December 24. Returns Season hits in January, often creating just as much strain on labor and operations as Peak Season itself. The difference is that returns are unpredictable, volumes swing wildly, timelines stretch out, and labor needs don’t always align with forward flow.

But once the returns surge settles, the question becomes: how do you reset your operation and prepare for the year ahead? 2026 is full of opportunities for operators who treat the first quarter not as a cooldown, but as a reset.

Here’s how to make the most of that transition.

Review What Worked—and What Didn’t

Returns processing exposes weak spots fast. Was your workforce large enough to handle the volume? Did training gaps slow down processing or create quality issues? Did you have the right balance between outbound fulfillment and reverse logistics?

Conducting a quick but honest review after Returns Season provides the insights you need to strengthen your operation before the next surge.

Rebalance Labor Pools

Returns tie up a lot of resources. Workers who were focused on outbound in November and December often shift to inbound in January. Once the surge is over, it’s the perfect time to rebalance your workforce.

That might mean scaling down temporary help, retraining employees for new roles, or cross-training so teams can pivot quickly in the future. Rebalancing now will avoid waste and improve readiness for mid-year demand swings.

Double Down on Cross-Training

Returns are unpredictable, but cross-training makes them manageable. Workers who can shift between tasks, such as returns, replenishment, picking, packing, keep operations moving no matter where the volume lands.

Q1 is the ideal time to roll out cross-training programs. You’re past the chaos of Peak, but still close enough to identify where versatility would have paid off.

Reset Engagement and Morale

Let’s be honest: Peak plus Returns season takes a toll on employees. Many are exhausted, and turnover risks spike in the first quarter.

Operators who use Q1 to re-engage their workforce, whether through recognition, clearer communication, and development opportunities, will see stronger retention throughout 2026. A motivated team isn’t just happier; it’s more productive and more resilient.

Plan for the Next Peak Now

It may feel early, but Q1 is when the smartest operators start preparing for Peak 2026. Using data from last year’s demand patterns, turnover rates, and absenteeism, you can begin forecasting how many workers you’ll need and what training investments to make.

Waiting until October guarantees stress. Planning now guarantees stability.

The Bottom Line for Operators

Returns Season isn’t just about processing inbound orders, it’s a chance to reset. By reviewing performance, rebalancing labor pools, investing in cross-training, re-engaging employees, and planning ahead, operators can turn the post-holiday lull into a launchpad for 2026 success.

Readiness starts with what you do right after returns.

About iJility

At iJility, we help retail and eCommerce operators turn workforce challenges into long-term strengths. From returns management to peak preparation, we design labor strategies that improve productivity, engagement, and cost predictability year-round.

Ready to reset your workforce for 2026? Schedule a discovery call today.

Author: Mitch Gant

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