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Paychex-IHS Small Business Jobs Index slipped slightly to 99.34 in July
The Paychex | IHS Markit Small Business Employment Watch for July shows slight declines in the rates of small business jobs and wage growth. At 99.34 in July, the Small Business Jobs Index is down 0.63 percent year-over-year. Hourly earnings growth stands at 2.42 percent, up $0.63 from a year ago. Since last July, hourly earnings growth has slowed 0.54 percent.
“The Small Business Jobs Index slipped slightly again in July, to 99.34. It has been on a steady downtrend for the past 18 months, falling 1.43 percent during that time, while large employers have expanded payrolls,” said James Diffley, chief regional economist at IHS Markit.
“We continue to see declining wage growth, which is unexpected in such a tight labor market,” said Martin Mucci, Paychex president and CEO. “We recently surveyed business owners to look into this further. Of those who don’t plan to raise wages this year, the majority (65 percent) indicated they’re not making enough profit to do so, others are choosing to invest in other aspects of their business (28 percent).”
The Small Business Jobs Index decreased 0.06 percent in July to 99.34
At $26.70, hourly earnings growth slowed to 2.42 percent YOY ($0.63)
Employment growth remains strongest in the South; the West remains the best region for wage growth
Arizona and Phoenix rank first in both jobs and wage growth among states and metros, respectively
Manufacturing shows positive YOY employment gains; Leisure and Hospitality ranks first among industries in wage growth
Posted: July 31, 2018 Tuesday 08:30 AM