NEW YORK—The nation’s retailers may be facing the worst holiday season in six years, according to the National Retail Federation. The annual forecast by the trade organization--whose membership comprises retail formats and distribution channels including department, specialty, discount, catalog, Internet, independent stores, chain restaurants, drug stores and grocery stores plus industry trading partners of retail goods and services—predicts sales will rise just 2.2 percent, to $470.4 billion, during the 2008 holiday selling period. That would represent the slowest growth since 2002, when holiday sales rose 1.3 percent, and half the 10-year average of 4.4 percent.

To help improve consumer confidence and, hopefully, buying intentions, the NRF this week called on Congress to hold a lame-duck session to address the nation’s economy as soon as possible after the November elections, and to include tax relief for consumers in any economic stimulus package that is adopted.

“The United States is in the midst of a national crisis,” the NRF’s president and chief executive officer, Tracy Mullin, said. “Extraordinary measures are needed to address this profound economic emergency that has affected every American.

“Consumer confidence has been badly eroded by the foundering economy and instability of the financial markets,” Mullin said. “Because consumer spending represents two-thirds of GDP and supports tens of millions of jobs, it is difficult if not impossible to foresee an improvement in overall economic growth until consumer confidence and spending improve.”

Added Mullin, “We believe a second round of economic stimulus is needed, and must include relief for the consumer. Increased consumer spending would create demand throughout all sectors of the nation’s economy, from manufacturing to transportation to construction.”