According to Intuit via The Street, small business hiring is up .3 percent, or about 60,000 jobs, among those businesses with fewer than 20 employees. Better yet, the data collected from 65,000 small businesses the company works with found that hourly compensation rose .5 percent and total monthly hours some .7 percent. Awful lot of decimals in there.
That’s not to say these gains aren’t important; they are. No one is going to argue that increases in the number of people working and the pay they receive are a downside, and it’s another strong signal that growth is occurring in the U.S. economy, no matter how small. Any growth on a month-over-month basis, as I suggested in the headline, is akin to climbing the ladder.
It is indicative of the way the recovery has gone, however, that we’re not seeing growth that even reaches a full percentage point. Small businesses will continue to be an important part of this process, but we should not expect unemployment to reduce drastically and dramatically over the course of a single month. Even a year might be a stretch, though at the current pace job growth in the sector could approach 7-10 percent by the time 2011 wraps up.
In short, it’s great news, but not something we should take for granted. Baby steps are still steps forward, however.
Your take on the news?
Photo credit to ilco at http://www.sxc.hu/photo/1198416