Small Businesses Thrive in Strong U.S. Economy: CBIZ Report

Improvement in Small Business Hiring Challenges as Economy Remains Robust

New York (AP) – Small businesses are finding it easier to hire new employees, as reported by the CBIZ Small Business Employment Index. The index showed a 0.17% increase in February, indicating continued strength in the U.S. economy despite high interest rates.

Despite their smaller size and resources, small businesses are often able to offer competitive salaries and benefits to attract talent, which is reflected in the latest employment trends. According to Anna Rathbun, the chief investment officer of CBIZ, small businesses have been steadily expanding their workforce during February due to the unexpected strength of the U.S. economy in the face of high interest rates. About 20% of companies in the index increased their staffing levels in February, while 60% kept their headcounts the same and 20% reduced staff numbers.

Industries like administrative and support services, arts and recreation, and technology and life sciences have seen hiring gains, while industries like accommodation and food services, insurance, and utilities have seen decreases. Regional differences were also noted, with the West, Southeast, and Central regions experiencing slight hiring increases, while the Northeast region experienced a slight decline.

Small business hiring trends reflect those of the broader market where U.S employers added 275,000 jobs in February surpassing expectations which shows resilience of US economy despite high interest rates . This robust job growth mirrors broader market trends where U

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