Intuit’s small business research has found that U.S. small companies added 50,000 net new jobs in March, after adding jobs in previous months as well. March employment rose by 0.25% which Intuit says equates to a 3% annual growth rate. The report admits that the number of new jobs remain low, but highlights that A) they are positive, ie. growing and B) are a sign of recovery since the summer of 2009.
The numbers indicate that small businesses hiring may already be improving as the rest of the economy is slowing its decline in employment. “There are signs that a recovery is taking place among the smallest businesses in the country,” said Cameron Schmidt, vice president of Intuit’s Employee Management Solutions division. “Small businesses generally recover faster than larger businesses because it’s easier for them to begin hiring. This natural growth that we’re seeing in the Index, combined with new small business hiring incentives, may continue to help improve the situation.”
Below, you can see how small businesses employment indeed started to pick up its hiring pace ahead of the rest (as represented by the ‘National Employment Index). Small business is leading the employment recovery, let’s hope it lasts.