August Reading of CBIZ Small Business Employment Index Points to Potential Retreat in Hiring Recovery
The CBIZ Small Business Employment Index (SBEI), which tracks hiring trends among thousands of companies with 300 or fewer employees across the U.S., reported a seasonally adjusted decrease of 0.48% for its August 2020 reading. This decrease calls into question whether a V-shaped recovery from the COVID-19 economic shutdown can be expected.
The index also reported that employment grew for 22% of companies, remained unchanged for 51% of companies and declined for 27% of companies. Looking at the industries in the index, Educational Services, Transportation, and Technology and Life Sciences showed distinctive growth. Marked declines occurred in Administrative and Support Services, Manufacturing and Real Estate.
Of the U.S. regions tracked by the CBIZ SBEI, the Central region had relatively flat data. Meanwhile, hiring decreased most in the West, with declines also occurring in the Northeast and Southeast.
Phil Noftsinger is Executive Vice President, CBIZ Inc.
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