Small businesses resume hiring in August after two straight months of decline Page 1

The CBIZ Small Business Employment Index (“SBEI”) reported a seasonally adjusted increase of 0.66% in August as the summer season draws to a close, while losses were seen in June and July. The CBIZ SBEI tracks payroll and hiring data for more than 2,900 businesses with 300 or fewer employees, providing broad insight into small business trends.

The Bureau of Labor Statistics employment report indicated that job growth fell short of expectations. The August reading showed an overall increase of 142,000 private sector jobs. The national unemployment rate fell slightly to 4.2 percent. The report includes all private nonfarm employers in businesses of all sizes. The ADP employment report indicated that job growth increased among medium-sized and large businesses. The August reading showed an overall increase of 99,000 private sector jobs for the month. Despite the overall growth, small businesses experienced a decline of 9,000 jobs on a seasonally adjusted, month-over-month basis. The ADP report counts small businesses as those with 49 or fewer employees, while the CBIZ SBEI uses data from businesses with 300 or fewer employees.