(WWL.com)
The National Federation of Independent Business says their Small Businesses Optimism Index has slipped to it’s lowest levels since just before the 2016 presidential election, a notable drop off from recent record highs. State Director Dawn Starns says much of the recent drop off can be attributed to the last, and potentially upcoming, government shutdown.
“The reality is when the government shuts down and things become uncertain in DC, it certainly effects how a small business owner looks at the future.”
Starns noted the current 101.2 rating is still above the historical average of 98.
The NFIB state director also noted another issue tugging at optimism for small business owners was difficulty hiring qualified workers. Starns says 23 percent of members reported that as an issue.
“They still have a demand for qualified workers, so they are doing what they can to keep the workers they have, but they still have job openings.”
15 percent of companies said taxes were their biggest concern, followed by 12 percent who said it was regulation and red tape.
Starns noted overall compensation for workers in independent firms did increase in January, as just over a third of companies reported paying their workers increased benefits.
“36 percent of our small business firms are telling us that they have increased their compensation.”
NFIB also reports that small businesses added .33 worker each on average for January, with 15 percent of companies adding an average of 3 workers a piece.