The latest small business employment report from Intuit Inc. echoes the recently released August monthly report from the U.S. Labor Department in showing low hiring across the nation during the summer.
However, Intuit’s report also shows that the labor market may be warming, as there have been increases in hours worked, compensation and revenue. The report is produced monthly and is based on aggregated data from small businesses across the nation who use Intuit Online Payroll and QuickBooks Online Payroll.
“The labor market for small business is warming,” said economist Susan Woodward, principal of Sand Hill Econometrics. Though there were no new jobs, the rise in hours worked, full-time workers, compensation, and the hiring rate all show small business activity on the rise.”
Key findings of the Intuit Small Business Employment Index:
- The net result of job creation and loss resulted in no new jobs added in August; there have been more than 705,000 jobs added since March 2010.
- Employees’ average monthly compensation increased 0.6 percent, a rise of $16 from July’s revised figure.
- Average monthly hours worked by hourly employees increased from July by 0.6 percent, which equates to a total of 36 minutes.
- Findings come from the monthly Intuit Inc. Small Business Employment and Revenue Indexes; based on data from Intuit Online Payroll and QuickBooks Online Payroll, covering the period from July 24 to August 23.
- The hiring rate for August is up slightly, to 5.78 percent; The U.S. small business sector has 770,000 jobs to go to return to the level of March 2007.
- With employment flat for small business, results are mixed across states.
- States losing employment were mainly centered on the Great Lakes, with Michigan and Wisconsin losing the most in percentage terms. States with the biggest gains were Utah and Florida.
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Tags: Accounting, Payroll, Small Business, Staffing
