A barometer of hiring trends among small businesses edged up in May.
The CBIZ Small Business Employment Index (SBEI), a gauge of hiring trends among companies with 300 or fewer employees published by CBIZ Inc., Cleveland, Ohio, increased by 1.34% last month, following a rise of .05% in April.
The SBEI’s gain reflects a bounce in growth in employment and contrasts with a weak report on private sector job growth from ADP Employer Services. ADP’s May jobs survey shows the private sector added 133,000 jobs last month, which was below analysts’ estimates.
“Our report for May shows a healthy gain in employment for small businesses,” says Philip Noftsinger, business unit president for CBIZ Payroll Services, in a prepared statement. This is a welcomed, strong reading and indicates that the domestic economic growth we have seen continues to support the small business owner and his or her hiring.”
Of the companies surveyed, the reports, 26% reported an increase in employee headcount while 20% decreased staffing. Fifty-four percent of the companies maintained their number of employees.
CBIZ Payroll Services manages payroll services for more than 3,000 businesses that employ fewer than 300 people. The survey reflects industries and geographies corresponding to the markets in the U.S. where CBIZ provides services. The data represented by the SBEI is derived from a segment of employers not accounted for by the ADP Employer Services and Federal BLS employment reports.
For a month-by-month illustration of the Small Business Employment Index, please click here. To view last month’s SBEI and other relevant insights for small business owners, visit our new blog, Human Capitalizing.