CBIZ Small Business Employment Index Tracks Modest Growth

CLEVELAND--(EON: Enhanced Online News)--The November CBIZ Small Business Employment Index (SBEI), a barometer for hiring trends among companies with 300 or fewer employees, increased by .35 percent through the month, after posting a decrease of 1.28 percent in October.

“The results of the CBIZ Small Business Employment Index for November provided a mild growth in employment, consistent with our expectations that low levels of hiring would take place as we approach the holiday season.”

Today’s announcement follows ADP’s November jobs survey, which illustrated that the private sector added 206,000 jobs in November.

Philip Noftsinger, business unit president for CBIZ Payroll Services, explained, “The results of the CBIZ Small Business Employment Index for November provided a mild growth in employment, consistent with our expectations that low levels of hiring would take place as we approach the holiday season.”

Additional take-away points from the November data include:

• At-a-glance: Of the companies surveyed, the data shows that 23 percent reported a decrease in employee headcount while 24 percent increased staffing.
  53 percent of the companies involved in the survey maintained their number of employees.
• Small business sector: According to the National Federation of Independent Business Owner’s October survey, outlook for long term growth in employment among small and independently owned businesses is just slightly above zero with those expecting to increase head count barely outpacing those expecting to decrease head count.
• What to watch: As the holiday season moves into full speed, consumer spending will remain a major focus. Growing consumer confidence should afford a minimal, but steady increase in long-term job growth as business owners begin to gain reassurance in the economy.

“The small business owners we’re engaged with still remain cautious because of continued economic concerns; however a slight increase in employee hiring has been traced to the holiday shopping season. While that may not inspire confidence in terms of future economic growth, those numbers are modestly better than in 2009 and 2010. Our biggest hope for sustained job growth is a robust holiday season and continued growth in capital spending by small businesses,” said Noftsinger.

Currently, CBIZ Payroll Services manages payroll services for more than 3,000 businesses that employ fewer than 300 people. The sample reflects a broad array of industries and geographies corresponding to the markets across the United States where CBIZ provides services.

For a month-by-month illustration of the Small Business Employment Index, please click here.

Editor’s note: The United States Department of Labor’s Bureau of Labor Statistics Employment Situation Summary is due to be released on Friday, December 2, at 8:30 a.m. Mr. Noftsinger is available for media interviews to discuss employment trends and other payroll matters impacting the American business environment.

About CBIZ, Inc. (NYSE:CBZ)

CBIZ, Inc. provides professional business services that help clients better manage their finances and employees. CBIZ provides its clients with financial services including accounting and tax, internal audit, merger and acquisition advisory and valuation services. Employee services include group benefits, property and casualty insurance, retirement planning, payroll, HR consulting and wealth management. CBIZ also provides outsourced technology staffing support services, healthcare consulting and medical practice management. As one of the largest benefits specialists and one of the largest accounting, valuation and medical practice management companies in the United States, the company’s services are provided through more than 150 offices in 36 states.