|By Marketwired .||
|May 27, 2014 06:00 AM EDT||
GLENVIEW, IL--(Marketwired - May 27, 2014) - Considerably more than any other factor, an increase in demand for products and services will determine small business hiring, according to the May 2014 SurePayroll Small Business Scorecard® survey. SurePayroll Inc., a leader in providing online payroll to small businesses nationwide, today announced results for the Scorecard, which found that 67 percent of small business owners say that if they see an increase in demand, it would spur them to hire.
This is a significant leap from one year ago, when only 30 percent said an increase in demand would cause them to hire.
"If the demand is there, small businesses will hire," said SurePayroll Vice President of Marketing Scott Brandt. "Put differently, hiring should track sales and revenue more than other factors, such as needing to fill specific roles or workload."
Only one in three small business owners surveyed said having too much to do or needing specific expertise to accommodate clients' needs would cause them to hire. The need for administrative help has dropped dramatically, as almost no one said it would cause them to hire in 2014, compared to 28 percent in 2013.
In May, nationwide hiring dropped 0.1 percent and the average paycheck was down 0.2 percent. The percentage of independent contractors ticked up .02 percent to 6.54 percent.
Optimism, however, hit a one-year high, at 75 percent.
"The weather is finally improving, the economy seems relatively stable, so you're seeing optimism back up around its high," Brandt said. "It's the growth piece that may be missing before we see a breakout in demand and then hiring. It's just not clear when we'll get there."
Hiring in the South was up 0.1 percent in May; down 0.2 percent in the Midwest; up 0.4 percent in the Northeast; and up 0.1 percent in the West. The South also saw the only increase in the average paycheck at 0.1 percent, while it was down 0.2 percent in the Midwest; down 0.4 percent in the Northeast; and down 0.4 percent in the West.
As the first economic indicator created by a payroll company, the SurePayroll Scorecard has provided a monthly look at national hiring and paycheck trends since October 2004. SurePayroll's Scorecard compiles data from small businesses nationwide, and exclusively reflects the trends affecting the nation's "micro businesses" -- those with 1-10 employees. The average business reflected has six employees.
The full SurePayroll Small Business Scorecard -- Main Street Matters infographic includes data for SurePayroll's top MSAs. The May 2014 Scorecard is available now on the SurePayroll blog.
SurePayroll is the trusted provider of easy online payroll services to small businesses nationwide. Whether a business has 1, 10, or 100 employees, SurePayroll delivers peace of mind by combining innovative, industry-leading technology and personalized support from an award-winning, U.S.-based customer care team. SurePayroll also provides private-label and co-branded services for accountants and banking partners as well as offering efficient online solutions for managing 401(k) plans, health insurance, workers' compensation, employee screening and more. SurePayroll is a wholly owned subsidiary of Paychex. For more information, please visit www.SurePayroll.com. Follow us on Twitter -- Circle us on Google -- Connect with us on LinkedIn -- Like us on Facebook.
Paychex, Inc. (NASDAQ: PAYX) is a leading provider of payroll, human resource, insurance, and benefits outsourcing solutions for small- to medium-sized businesses. The company offers comprehensive payroll services, including payroll processing, payroll tax administration, and employee pay services, including direct deposit, check signing, and Readychex®. Human resource services include 401(k) plan recordkeeping, section 125 plans, a professional employer organization, time and attendance solutions, and other administrative services for business. A variety of business insurance products, including group health and workers' compensation, are made available through Paychex Insurance Agency, Inc. Paychex was founded in 1971. With headquarters in Rochester, New York, the company has more than 100 offices serving approximately 570,000 payroll clients as of May 31, 2013. For more information about Paychex and our products, visit www.paychex.com.
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