Business Examiner
May 2, 2005

Economists at national employment firm SurePayroll are less than enthusiastic about April's economic indicators, saying the short-term outlook is murky for small businesses and the U.S. economy although data reveals a few mildly encouraging signs.

"Small business hiring continues to spin its wheels with no sign of going anywhere soon," said SurePayroll President Michael Alter. "The hiring index ended the month at 10,458 nationwide — a 0.22 percent increase from March and the highest number we've seen all year. But even so, it's still less than a quarter of a percent."

The average number of employees per business, meanwhile, increased just 0.01 from 5.86 in March to 5.87 in April, reinforcing suspicions that small businesses simply aren't hiring new employees. Year to date, small business hiring is up just 0.2 percent.

While job growth remained static, small business salaries continued their slow slide. The SurePayroll Pay Index dropped from 942 to 935 — the lowest point all year and the largest single month decrease since December. Average small business salaries are down 1.8 percent so far this year.

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