Mountain View, Calif. - A report released Tuesday by Intuit Inc. found that small business employment continued to show growth in November, although wages were down and hours worked remained flat.
According to Intuit’s Small Business Employment Index, small business employment grew by 0.24% in November, equating to an annual rate of about 3%. This translates to approximately 49,000 new jobs created nationwide. The Index is based on figures from the country’s smallest businesses that use Intuit Online Payroll.
“The recovery that began late last summer for small businesses is still underway,” said Susan Woodward, the economist who worked with Intuit to create the Index. “While employment at the national level for all businesses is barely rising, small businesses are showing a more robust increase. This is in line with what we’ve seen with past recessions -- small businesses are the first to hire when recovery begins.”
Total compensation per employee fell in November while hours worked were flat, compared to October. Average monthly pay for all small business employees was $2,592 per month in November, a 0.3% decline from the revised October figure of $2,600 per month. This translates to wages of about $31,100 per year, which is part-time work for many small business employees. Small business hourly employees worked an average of 105.9 hours in November, translating to a 24.4-hour work week. Hours worked remained flat for November following a sharp rise in hours worked in October.
Arizona, Massachusetts,New Jersey and Virginia all experienced the strongest increases in employment.