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Small-Business Hiring Strong for Fifth Consecutive Month

NFIB News Release (06/04/15)

There was solid small-business hiring in May, which may indicate a decline in unemployment, according to the National Federation of Independent Business’ May jobs report. Fourteen percent of small employers increased employment, by an average of 2.7 workers per firm. Another 12% reported reducing employment an average of 3.0 workers per firm. Plans to create jobs are up one point to a net 12%. Fifty-five percent of small-business owners reported hiring or trying to hire, up two points from April.

“May continued to show solid, but not spectacular hiring, continuing the trend of previous months in 2015,” says William C. Dunkelberg, NFIB’s chief economist. “For the second time this year, a high of 29% had openings they couldn’t fill; a high we hadn’t seen since April 2006. This is a strong indication that the unemployment rate will decline further. The supply of available qualified labor is not large enough relative to even weak labor demand to keep the unemployment rate higher.”