Small Business is Hiring

Small businesses continue to demonstrate strong economic growth, according to the National Federation of Independent Business (NFIB)’s April monthly Jobs Report. Fifty-seven percent of small business respondents indicated they are hiring or planning to hire, up four points from March. A net 33 percent of small business owners also report higher worker compensation, on par with the previous month and the highest reading since 2000.

Employment and wage numbers remain strong, according to the NFIB Jobs Report

Compensation Continues Solid Pace

While 57 percent of small businesses are hiring or planning to hire, a large majority (88 percent) of them reported difficulties finding qualified candidates. Twenty-two percent of all small business owners cited the difficulty of finding qualified workers as their Single Most Important Business Problem (up one point from March), exceeding the percentages citing taxes and regulations.

Owners reporting job openings they could not fill in the current period remained at 35 percent. Twelve percent reported using temporary workers, up two points from the previous month. Job openings were the most frequent in construction and manufacturing, both at 48 percent.

“The shortage of qualified workers is clearly holding back even stronger economic growth,” said NFIB Chief Economist Bill Dunkelberg. “The high demand has real impacts. In some industries, nearly half of the firms have unfilled openings. It’s especially severe in construction and manufacturing.”

Click here to view the entire NFIB Jobs Report.

William Dunkelberg, NFIB Chief Economist

The NFIB Research Foundation has collected Small Business Economic Trends data with quarterly surveys since 1974 and monthly surveys since 1986. Survey respondents are drawn from NFIB’s membership. The survey was conducted in April 2018 and reflects a random sample of 10,000 small-business owners/members.

Source: NFIB

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