SANTA FE (September 4, 2025) – NFIB’s August jobs report found that 32% (seasonally adjusted) of small business owners reported job openings they could not fill in August, down 1 point from July. The last time unfilled job openings fell below 32% was in July 2020. Twenty-eight percent have openings for skilled workers (down 1 point), and 13% have openings for unskilled labor (up 1 point).

“While the economy appears to be doing well, small businesses are scaling back on job openings,” said Chief Economist Bill Dunkelberg. “Small business owners with job openings are still looking for qualified applicants, many citing labor quality as their single most important problem.”

“Finding applicants with the right skills and experience remains a challenge for those small business owners looking to hire,” NFIB State Director Jason Espinoza said. “For some of our members, they’re shifting their focus from hiring and onto retaining their current workforce.”

In August, 21% of small business owners cited labor quality as their single most important problem, unchanged from July. Labor costs reported as the single most important problem for business owners fell 1 point from July to 8%.

Overall, 53% of small business owners reported hiring or trying to hire in August, down 4 points from July. Forty-three percent (81% of those hiring or trying to hire) of owners reported few or no qualified applicants for the positions they were trying to fill, down 5 points. Twenty-six percent of owners reported few qualified applicants for their open positions and 17% reported none.

Twenty-eight percent have openings for skilled workers (down 1 point) and 13% have openings for unskilled labor (up 1 point).

Job openings were the highest in the construction, manufacturing, and transportation industries, and the lowest in the wholesale and finance industries.

A seasonally adjusted net 15% of owners plan to create new jobs in the next three months, up 1 point from July and the third consecutive monthly increase.

Seasonally adjusted, a net 29% of small business owners reported raising compensation in August, up 2 points from July. A net 20% (seasonally adjusted) plan to raise compensation in the next three months, up 3 points from July. Labor costs reported as the single most important problem for business owners decreased 1 point from July to 8%.

Click here to view the entire NFIB Jobs Report.