Evergreen Reporter

More than a third of small business owners in the United States are facing difficulties in filling job openings, according to the latest Jobs Report from the National Federation of Independent Business (NFIB). The report highlights that sectors such as transportation, construction, and manufacturing are experiencing more pronounced challenges compared to agriculture and finance.

The NFIB's January report indicates that 35% of small business owners reported unfilled job openings, a figure unchanged from December. Patrick Connor, NFIB's Washington State Director, commented on local legislative efforts that could impact labor costs. He stated, "Even though small business optimism is finally brightening across the nation, states like ours always seem to do their best to turn the dimmer switch on what small progress is being made." Connor referred specifically to Senate Bill 5578 and House Bill 1764 which propose raising the minimum wage and increasing leave entitlements.

The report serves as a national overview of NFIB-member businesses but does not provide state-specific data. Typical members employ about ten people with gross sales around $500,000 annually. The NFIB plans to release its Small Business Optimism Index soon.

Bill Dunkelberg, NFIB Chief Economist, noted that while there is hope for economic improvement among small business owners, employment remains a significant concern. "Small business owners are certainly feeling hopeful about the direction of the economy. However, employment remains a top concern as Main Street owners continue to face challenges in finding qualified employees," he said.

The report also found that 52% of small business owners were hiring or attempting to hire in January—down three points from December—and nearly half reported difficulty finding qualified candidates. Openings for skilled workers remained steady at 29%, while those for unskilled labor decreased by three points to 10%.

A net 18% of owners plan to create new jobs in the coming months—a slight decrease from December—while reports of labor quality as a primary operating problem fell slightly to 18%. Labor costs as a major issue decreased by two points from December to 9%. Compensation increases were reported by a seasonally adjusted net 33% of small business owners in January.

For further information and updates on Washington state's small-business news, visit www.nfib.com or follow NFIB on social media platforms.