Monday AM May 31st, 2010
by: Ed Mayberry, May 31, 2010 6:05:00 am
Intuit Payroll's May Small Business Employment Index shows that although there was a slight decrease in the amount of hours worked, the number of hours per worker continues to fall at a slower rate. The software provider's Sharna Brockett says the tide may be turning, as small businesses step up hiring.
"Small business with fewer than 20 employees added about 25,000 new jobs in May—a point-one percent growth in May, and last month in April it was a point-33 percent. So, you know, the good news is it's still going up, but it's growing a little bit less than it did in April."
There have been nearly 240,000 new jobs created since mid-2009.
"The trend is still going up. It's going up slowly, but it is still going up. We define small businesses as those small firms with fewer than 20 employees. We believe they are important because they actually make up 87 percent of all U.S. employers, and they employ nearly 20 million people."
Brockett says Intuit's index is reason for optimism.
"The May results for the Intuit Small Business Employment Index show that the worst is over, according to our data, and in October--that was the lowest point--and small businesses have been hiring ever since then."
Intuit is interested in how well small businesses fare because they supply products used by small businesses.
"We make QuickBook accounting software for small businesses but we're also well-known for Quicken for personal finance and for TurboTax for personal taxes."
Ed: "That's going to be how most people will know you, then."
"Exactly. To add to that, we have, you know, we offer a lot of services to small business, and that includes payroll. And this index is actually based on 50,000 small firms that use our Intuit online payroll service."