Record number of US small businesses unable to fill job openings -NFIB
Nearly half of U.S. small business owners reported vacancies in May, marking the fourth consecutive month of record readings, as finding qualified candidates remains a persistent challenge, a trade group said Thursday.
The National Federation of Independent Businesses said in its monthly employment report that 48% of small business owners reported unfilled vacancies in May on a seasonally adjusted basis, up from 44% in April. The May reading is 26 points above the 48-year average of 22%.
What’s more, the report showed that 93% of owners looking to hire reported few or no “qualified” applications for the positions they were trying to fill in the last month.
Forty percent of small businesses surveyed currently have job openings for skilled workers and 27 percent have openings for unskilled labor, up 3 points and 7 points, respectively.
“Small business owners are struggling at record levels to try to get workers back to vacant positions,” NFIB chief economist Bill Dunkelberg said in a statement. “Homeowners are offering higher wages in an attempt to address the labor shortage problem. Ultimately, the higher labor costs are passed on to customers in the form of higher selling prices.
The report comes as the number of Americans filing new jobless claims fell below 400,000 last week for the first time since the start of the COVID-19 pandemic more than a year ago. year.
In addition, hiring seems to have strengthened in May. The ADP’s national employment report showed on Thursday that the private payroll had increased by 978,000 jobs, which was the largest increase since June 2020, after increasing by 654,000 in April.
The Labor Ministry will release data on non-farm wages on Friday. Economists polled by Reuters predict that non-farm payrolls increased by 650,000 jobs in May after increasing only 266,000 the previous month.
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