Survey Finds Small Businesses Hiring, Pay Increases on the Rise in New England in 2010

DEDHAM, Mass.--(EON: Enhanced Online News)--A survey released today by Insight Performance, Inc., a strategic human resources (HR) consulting firm, and SBANE (Smaller Business Association of New England) found that an increasing number of small to-mid-sized businesses in New England are planning to hire employees this year and offer base-pay increases. The Small Business and Human Resources 2010 Outlook Survey uncovers growing optimism among small and mid-sized businesses, but companies expect progress to be slow and incremental.

“Despite a tough 2009, small and mid-sized businesses are anticipating more opportunity in 2010”

“Despite a tough 2009, small and mid-sized businesses are anticipating more opportunity in 2010,” said Nancy R. Mobley, president and CEO, Insight Performance, Inc. “They recognize the importance of employees as key drivers of business growth, and are planning to invest in new hires and offer raises. One of the most important lessons from the downturn is the importance of having the right people in place.”

The survey comes at a time when companies are rebounding from a tough economic year and determining how they can retain employees and plan for future growth. The survey polled small and mid-sized New England companies with typically less than 50 employees and annual revenues of $20 million or less. The survey covered numerous industries, with respondents predominately from professional services, manufacturing and financial services.

The survey identified the following trends:

Forty-two percent of small to mid-sized businesses are planning new hires as compared to 29% last year.
Forty-three percent of businesses are planning base-pay increases in 2010 as compared to only 29% percent last year.
This year, 43% of companies are basing their incentive plans on company and individual performance, and 17% are basing it on individual performance.
Sixty-eight percent of respondents expect their company’s benefits costs to be higher than 2009, with average cost increases of 13.8%. Forty-three percent also expect an employee’s benefit costs to rise, with average increases of 14.9%.

Webinar

Insight Performance will be hosting a webinar, “The Small Business and Human Resources 2010 Outlook Survey Debrief Session,” on Friday, Feb. 5, 2010, from 11:30 a.m. to 12:30 p.m. EST. To register, contact Gwen Nelson, gnelson@insightperformance.com, 781-326-8201, extension 200.

About Insight Performance, Inc.

Founded in 1995, Insight Performance, Inc. is a strategic human resources consulting firm that works with small and mid-sized companies to build exceptional workplaces. The firm, based in Dedham, Mass., provides proven and cost-effective HR solutions to help companies, in a wide range of industries, solve real-world problems and achieve their business goals. Insight Performance has won 16 awards in six years. More information can be found at www.insightperformance.com.