Survey Finds Small Businesses Slowly Increasing Economic Activity
Small business owners are showing a willingness to hire more employees amidst signs of expanding business activity, according to the most recent Business Confidence Survey released by Insperity, Inc., a provider of human resources and business performance solutions.
- More than 40 percent of respondents say they are adding employees, up from 28 percent last October.
- Fifty-five percent are maintaining current staffing levels, versus 63 percent last fall.
- Five percent are laying off employees, down from 9 percent in October.
- Compared to the 2012 first quarter data, average compensation is up 3.7 percent and bonuses are down 0.6 percent.
- Average commissions received by worksite employees reflected an increase of 4 percent, versus a 2.6 percent increase in the first quarter of 2012.
- Overtime pay is still low, at 8.7 percent of regular pay, down from the 10 percent level seen last quarter, which generally indicates a need for additional employees. However, it is up slightly from 8.5 percent in the first quarter of 2012.
- Twenty-eight percent think one is currently in process, versus 20 percent last fall.
- Twenty-six percent expect a rebound in the third quarter or later.
- Forty-five percent are unsure. The percentage of those unsure of the timing of an economic rebound has remained at or above 40 for the last year.
- Sixty-three percent indicate they are either very concerned or have elevated concerns about potential tax increases, down from 69 percent in October.
- The federal deficit and the total national debt ranked second at 60 percent.
- Government expansion and its effect on business was third at 59 percent.
- The economy dropped to fourth place at 50 percent, down sharply from 66 percent last October.
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