The lights are usually off. By 8:00 PM on Christmas Eve, most of the world goes dark, tucked away into living rooms filled with the smell of pine needles and expensive candle wax. But for a specific slice of the economy, the "Closed" sign never flips. We are open Christmas day because, frankly, the world doesn't actually stop spinning just because there’s a holiday on the calendar.
It’s a weird vibe. Empty streets.
Running a business on December 25th isn't just about sticking a body behind a counter and hoping for the best. It is a massive logistical headache that involves navigating labor laws, emotional burnout, and the strange, unpredictable surge of "emergency" shoppers who realized at 10:00 AM that they forgot the heavy cream for the soup.
Most people think it’s a cash grab. It isn't always. Sometimes, staying open is a defensive play. If you're a gas station or a 24-hour pharmacy like CVS or Walgreens, you’re basically a public utility at that point. People need insulin. They need batteries for the drone their kid just unwrapped. They need a place to go when the oven catches fire and the ham is ruined.
The Economics of Holiday Overtime
Let’s talk money. You can’t just pay standard wages and expect people to show up with a smile. In many states, and certainly across most corporate policies, "holiday pay" is the standard. This usually means time-and-a-half or double-time. If your base pay is $20 an hour, you're suddenly costing the company $40 an hour. When you factor in payroll taxes and workers' comp, that employee is a significant line item for a single shift.
The math has to work. If a coffee shop stays open, they need to move a lot of lattes just to break even on the labor. But here is the kicker: the average transaction value on Christmas is often higher. People feel guilty. They tip better. They buy the "large" instead of the "small" because, hey, it’s Christmas.
I’ve spoken to franchise owners who admit they lose money on the day itself but stay open for the "brand equity." They want to be the place you remember when everything else was closed. That loyalty is hard to buy with a Facebook ad.
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Why Some Sectors Can't Ever Close
Some industries don't have a choice. Data centers, for example, can't just power down. If you're hosting servers for a major streaming platform, Christmas is your Super Bowl. Everyone is home, everyone is on their new iPads, and everyone is streaming movies. If those servers go down, the financial loss is measured in millions per minute.
Then you have the hospitality sector. Hotels are never "closed." A guest sleeping in Room 402 doesn't disappear at midnight on the 24th. This means housekeeping, front desk staff, and security are all on the clock. It’s a ghost-town atmosphere in the lobby, but the engine is still running hot behind the scenes.
Managing the Human Element of Being Open
This is the hardest part. You're asking people to miss the morning presents or the big dinner. Smart managers don't use a "first-come, first-served" approach for time off. They use a rotation. If you worked last Christmas, you're guaranteed this one off.
Volunteers are the holy grail. You’d be surprised how many people actually want to work. Some don’t celebrate the holiday. Others have family far away and would rather be busy than sitting in a quiet apartment. For them, that double-time pay is a massive win for their January rent.
"It's not about forcing people to be there," one diner manager told me. "It's about finding the people for whom this is just another Tuesday and making it worth their while."
But even with volunteers, the energy is different. You have to provide food. You have to keep it light. A boss who shows up on Christmas Day—even if just for an hour to bring donuts—will have a much higher retention rate than the one who barks orders from a ski resort via Zoom.
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The "Chinese Food and a Movie" Tradition
We can’t talk about being open on Christmas without mentioning the Jewish tradition of eating Chinese food and going to the cinema. This isn't just a stereotype; it’s a vital economic driver for thousands of independent restaurants. For many family-owned Chinese restaurants, December 25th is the highest-grossing day of the entire year.
It is a beautiful bit of market synchronicity. One group isn't celebrating the religious holiday; another group needs a place to eat. Everyone wins.
In big cities like New York or San Francisco, these restaurants are packed to the rafters. It’s loud, it’s chaotic, and it’s arguably more festive than a traditional sit-down dinner.
Legal Realities and "Blue Laws"
You also have to look at the law. Depending on where you are, you might not even be allowed to be open. In some parts of the U.S. and Europe, "Blue Laws" still exist. These are old statutes designed to enforce a day of rest.
In Bergen County, New Jersey, for example, blue laws still famously prevent most retail from opening on Sundays. On Christmas? Forget about it. If you try to open a clothing store in certain jurisdictions, you're looking at heavy fines. Business owners have to be hyper-aware of these local ordinances before they even think about scheduling a shift.
Digital Businesses Never Sleep
If you run an e-commerce store, "we are open Christmas day" is your default setting. The website doesn't go on vacation. In fact, Christmas Day is one of the biggest days for digital gift card redemptions.
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As soon as the physical gifts are opened, people hop online to spend the money they just got from Grandma.
- Traffic spikes: Expect a surge around 2:00 PM as the "post-lunch slump" hits.
- Customer Support: This is where it gets tricky. Do you have a skeleton crew for live chat? Or do you let the tickets pile up until the 26th?
- Returns: Believe it or not, people start the return process for unwanted gifts on the same day they receive them.
Handling this requires a robust automated system. If your "Contact Us" page says you'll reply in 5 minutes and you don't, you're starting the new year with a one-star review.
Moving Forward: How to Do It Right
If you are a business owner deciding whether to stay open, don't make it a last-minute call. Your staff needs to know by October.
First, check your historical data. Did you actually make a profit last year? If you made $500 but paid out $700 in wages, you’re paying for the privilege of working. That’s ego, not business.
Second, look at your competitors. If everyone else in the neighborhood is closed, you might get a "monopoly" surge. If everyone is open, the pie is sliced too thin.
Finally, consider a "hybrid" approach. Open from 8:00 AM to 12:00 PM. This allows people to get their essentials but lets your staff get home for the main event. It shows you’re a human being, not just a corporate entity.
Actionable Next Steps for Businesses:
- Survey your team immediately: Find out who actually wants the extra pay. You might find you don't need to mandate anything.
- Audit your supply chain: Ensure your delivery drivers are actually running. There’s no point being open if you run out of milk by 9:00 AM.
- Update your Google Business Profile: This is the #1 way people find out you’re open. If your "Special Hours" aren't updated, people won't risk the drive.
- Simplify the menu or service: Don't try to offer the full experience. A limited, high-margin selection keeps the kitchen or the floor from burning out.
Staying open is a choice that reflects your brand’s role in the community. Whether you're a lifeline for travelers or a sanctuary for those without family, do it with intentionality. The day is too charged with emotion to handle it with anything less than total clarity.