The CBIZ Small Business Employment Index (SBEI), which tracks hiring trends among thousands of companies across the U.S. with 300 or fewer employees, saw a slight increase in hiring for the month of August, reporting a seasonally adjusted increase of 0.47%.

In August, 22% of companies in the index increased staffing, 59% made no change to their headcounts, and 19% reduced employment totals. Gains were seen in Education Services, Information and Technology, and Management. Rental and Leasing Services, Transportation, and Wholesale Distribution all experienced declines.

The Northeast (0.75%) reported the largest increase in hiring, and was followed by the Central (0.17%) and Southeast (0.15%) regions. The West (-0.27) was the only region to experience a decline. The data suggests small business owners will have to navigate tightening conditions in the latter half of 2023.

Anna Rathbun is Chief Investment Officer, CBIZ Inc.

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