Finding qualified workers continues to be a problem for small business owners trying to hire, according to NFIB Jobs Report
Washington, D.C. (March 8, 2018) – Job creation remained solid in the small-business sector with 52 percent of small business owners saying they are currently hiring or trying to hire, but they continue to have difficulty finding qualified workers, according to the monthly National Federation of Independent Business (NFIB) Jobs Report.
“Small businesses are beginning to reap the benefits of regulatory rollbacks and the recent tax law – now they need an increase in qualified workers to continue to grow,” said NFIB President and CEO Juanita Duggan.
Difficulty in Finding and Hiring Qualified Workers continued to be the Single Most Important Business Problem facing small business owners in February 2018. Thirty-one percent of small business owners surveyed reported raising compensation to attract or retain employees to combat the labor shortage. This number is unchanged from January yet remains the highest reading since December 2000.
“Employers need a surge in the labor participation rate to begin to see relief from the effects of labor shortages, which has been a serious problem for many small business owners,” said NFIB Chief Economist Bill Dunkelberg. “Owners are increasing wages to remain competitive and have begun using temporary work to help fill the void.”
The February report shows that 52 percent of owners reported hiring or trying to hire, but 47 percent reported that they had few or no qualified applicants for the positions they were trying to fill. Thirty-four percent of all owners reported job openings they could not fill in the current period.