Photo: jared via Flickr
The bleeding among small businesses has been pronounced, and a major hindrance to recovery.Is that about to change? Tomorrow we get the NFIB Small Business optimism survey (ironically one of the big reports of the week, after last week’s huge week for news).
The NFIB has already leaked one bit of (slightly) good news. Hiring is ticking up:
“Although the economy has been growing for over a year now, most firms have not increased employment and many have eliminated jobs. In October, 10 per cent (down three points) increased average employment by 4.5 employees, but 15 per cent (down one point) reduced their workforces by an average of 2.9 workers. The average change in employment per firm improved from negative .26 workers per firm lost in September to a 0 reading for October, a substantial improvement.
“The per cent of owners with unfilled (hard to fill) openings fell a point to 10 per cent of all firms, historically a weak showing. Over the next three months, 13 per cent plan to reduce employment (down three points), and 8 per cent plan to create new jobs (unchanged), yielding a seasonally adjusted net 1 per cent of owners planning to create new jobs, 4 points better than September. Although expectations for business conditions and real sales trends improved in October, it wasn’t enough to produce a surge in job creation plans which remained mired at recession levels. The NFIB labour market indicators are underperforming all recovery periods since 1973.”
(via Calculated Risk)