Golden State Today

More than a third of small business owners in the United States continue to face difficulties in filling job openings, according to the latest monthly Jobs Report from the National Federation of Independent Business (NFIB). This comes after an improvement in the Small Business Optimism Index reported on January 14.

The report for January shows that 35% of small business owners, seasonally adjusted, had unfilled job openings. This figure remains unchanged from December. The sectors most affected are transportation, construction, and manufacturing, while agriculture and finance experience fewer challenges.

John Kabateck, NFIB's state director for California, commented on the findings: “What the latest report tells me is that more work needs to be done if we are to build on the improved findings in small business optimism, and that goes doubly so in California, where that must begin by rebuilding our fire-ravaged communities.” He emphasized the importance of policy at various government levels and expressed intentions to lobby for legislative support for small businesses.

The Jobs Report provides a national overview without state-specific data. Typically, an NFIB member employs about ten people with annual gross sales around $500,000. On February 11, NFIB will release its next Small Business Optimism Index.

Bill Dunkelberg, NFIB Chief Economist noted: “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 to fill their open positions.”

Key points from the report include:

- 52% of small business owners were hiring or attempting to hire in January.

- Of those hiring or trying to hire, 47% found few or no qualified applicants.

- Openings remain steady at 29% for skilled workers but dropped three points for unskilled labor.

- A net 18% plan to create new jobs within three months.

- Labor quality as a top problem decreased slightly to 18%, while labor costs fell two points to 9%.

- A net 33% raised compensation last month; a net 20% plan further increases soon.

For further details on these findings and other related news concerning California's small businesses visit www.nfib.com or follow them on social media platforms X @NFIB_CA and Facebook @NFIB.CA.

NFIB has been representing America's small businesses since its inception over eight decades ago. It operates as a nonprofit organization advocating across all U.S. states including Washington D.C., remaining dedicated solely to independent enterprises since its founding year in 1943.