The National Federation of Independent Business (NFIB) released its monthly Jobs Report, showing that 33% of small business owners nationwide reported job openings they could not fill in July. This figure is a decrease of three percentage points from June and marks the lowest level since December 2020, though it remains above the historical average of 25%.
Patrick Connor, NFIB Washington State Director, commented on the findings. “The modest downtick in job vacancies nationally is welcome news, but it is still concerning that one in three Main Street employers have jobs they simply cannot fill. The added costs and restrictions the state Legislature has saddled small businesses with this year — the largest tax increase in state history, expanded workers’ compensation, Paid Family & Medical Leave, and unemployment insurance benefits and eligibility, among others — will make it that much harder for Washington’s small employers to increase wages and benefits to attract and retain qualified applicants and employees.
“With an increasingly gloomy economic forecast, the best thing the state Legislature could do next session is provide Main Street some much needed relief to unleash the power of small business to drive economic growth.”
The NFIB Jobs Report surveys members nationwide but does not provide a breakdown by state. Most NFIB members employ between one and nine people with annual gross sales around $500,000.
Bill Dunkelberg, NFIB Chief Economist, also addressed labor market conditions. “The challenge of finding qualified workers is easing overall but still remained significant for many small business owners in July. The easing labor market pressures are also reflected in fewer firms raising compensation.”
Additional highlights from the report include: Job openings were highest in construction, wholesale, and transportation sectors while lowest in finance and agriculture; a net 14% of owners plan to create new jobs over the next three months—slightly up from June—and a net 27% reported raising compensation in July; fewer owners see labor costs as their most important problem compared to last month.
NFIB continues its advocacy for small businesses at both federal and state levels. More information can be found at their website or through their social media channels.
