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Small Business Compensation, Hours Jump in March

Reuters (03/29/12)

Small businesses increased hours and compensation for employees in March by the most in more than two years, according to a new survey from Intuit. The average monthly salary for small business employees rose 0.7%, or $18 per worker, according to Intuit, the largest percentage gain since December 2009. That is equivalent to an annual salary of $33,400.

Average monthly hours worked by small business employees increased by 0.5%, or 36 minutes, making for a 25.8-hour workweek. The percentage change was also the largest since December 2009. Intuit notes the gains came even as hiring by small businesses took a step back, with employers adding 65,000 workers to their payrolls in March. However, February’s small business payrolls increase was revised up to 75,000 jobs from the previously reported 55,000.