Did you know that small businesses are considered one of the most important cogs in the U.S. economy? Defined as having fewer than 500 employees by the Small Business Administration (SBA), small businesses and small business owners are a concentrated but mighty team. Each year, small businesses are responsible for the creation of many of the new private-sector jobs and small businesses are instrumental in the exporting of goods, according to sources such as the U.S. Census Bureau and the Bureau of Labor Statistics.
In 2020, small businesses are once again off to a good start with reports of strong hiring and higher employee compensation, according to NFIB, a member-driven organization who advocates for small and independent business owners nationwide. In January, NFIB cited an average employment change per firm of 0.49 workers. This is the highest level since March 2019.
The strong and ongoing candidates job market finds more small business raising employee compensation or with plans to raise employee compensation sometime this year. Thirty-six percent of small businesses surveyed by NFIB reported plans to raise compensation. This is up seven points from Dec. 2019. Net 24 percent of those surveyed plan to also raise compensation in the next coming months.
Skilled workers remain in strong demand, but employers continue to report ongoing difficulties in finding the right employees for open positions, hence plans to increase employee compensation. Small businesses also report plans to increase total employment at their firm, up a reported five points. And 3 percent of companies plan to make reductions, down two points.
Help when needed
By necessity, a smaller business does not typically dedicate large numbers to staffing initiatives, meaning it can be difficult to find extra hours and additional individuals when there are staffing needs in the company. When time is of the essence, Staffing Kansas City can provide the job staffing assistance employers need to find the right candidates the first time.
As a full-service employment agency, Staffing Kansas City provides employers of all sizes, with direct hire, contract-to-hire and temporary placement services. Our placements specialize in office support professionals in the areas of accounting, sales, marketing, administrative, reception, clerical and customer service.