A new study about the top issues of small business owners found hiring is their biggest need over the next six months, with Michigan in fourth place among states with a shortage of workers.
To see how small businesses plan on approaching the next six months, LendingTree researchers analyzed national and state data from the U.S. Census Bureau’s Small Business Pulse Survey and found 21% of small business owners say employee availability has impacted their ability to do business. Michigan ranks No. 4 among states most in need of workers with 45% of businesses saying hiring new employees is their biggest need over the next six months.
“Every company everywhere is hiring,” said Matt Schulz, LendingTree chief credit analyst. “It’s an enormously competitive time in the job market, and companies are being forced to explore every option to attract top talent. That means everything from changing their remote working policy to offering big salaries to providing unlimited time off.”
LendingTree researchers analyzed data from the Small Business Pulse Survey to find the percentage of businesses that plan on hiring workers in the next six months. Researchers used data from phase five, week three of the survey (May 31 to June 6) — the latest available data at the time of analysis. LendingTree researchers also analyzed the factors affecting businesses’ operating capacity, focusing on the availability of employees to work.
- Thirty-six percent of businesses say hiring new employees in the next six months is their top need.
- Montana small business owners are the most in need of workers. According to LendingTree’s analysis of the survey data, 52% of small business owners in the state say they plan on hiring over the next six months.
- Wyoming business owners are the least in need of workers. Just 20% of businesses say they plan on adding employees to payroll in the next six months.
- The industries looking to hire were heavily impacted early amid the coronavirus crisis. Accommodation and food services have the highest rate of small business owners looking to hire at 60%, followed by manufacturing at 46%.