Small-Business Employment Growth Slows: Report from American Drycleaner

According to the latest monthly jobs report from the National Federation of Independent Business (NFIB), job openings among small businesses decreased in February to pre-pandemic levels. This is a positive sign, as it becomes easier for owners to find qualified workers. However, labor demand remains strong, and owners’ plans to fill open positions continue to slow.

Despite this, labor costs remain a significant problem for business owners, with 56% reporting hiring or trying to hire in February. Of these, 91% reported few or no qualified applicants for the positions they were trying to fill, up two points from January. This highlights the need for more qualified workers in the industry.

The report also mentions that seasonally adjusted, a net 35% reported raising compensation, down four points from January and the lowest reading since May 2021. A net 19% plan to raise compensation in the next three months, down seven points from January and the lowest since March 2021. This suggests that wages may not be keeping up with inflation or rising labor costs.

In terms of job openings by sector, construction saw a six-point increase from last month, with over half of businesses in that sector having an opening they can’t fill. Job openings were highest in the construction, transportation, and wholesale sectors and lowest in agriculture and finance sectors. This suggests that there are specific sectors where there is a greater need for skilled workers.

Overall, while there are some positive signs regarding job openings decreasing among small businesses, there is still much work to be done in addressing labor quality issues and ensuring that wages keep pace with inflation and rising labor costs.

By Riley Johnson

As a content writer at newsmol.com, I dive into the depths of information to craft compelling stories that captivate and inform readers. With a keen eye for detail and a passion for storytelling, I strive to create engaging content that resonates with our audience. Whether it's breaking news, in-depth features, or thought-provoking opinion pieces, I am dedicated to delivering high-quality, informative content that keeps readers coming back for more. My goal is to bring a fresh perspective to every article I write and to make a meaningful impact through the power of words.

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