In September, 32% of small business owners reported job openings they could not fill, according to the latest jobs report from the National Federation of Independent Business (NFIB). This figure remains unchanged from August and marks a continued trend, as unfilled job openings have not dropped below this level since July 2020. Of those surveyed, 28% had openings for skilled workers and 13% for unskilled labor, both figures also unchanged from the previous month.
“Main Street job openings remain above their historical average, with owners reporting few qualified applicants,” said Chief Economist Bill Dunkelberg. “While a recession appears unlikely, small business owners continue to experience economic uncertainty as many owners continue to grapple with labor imbalances.”
NFIB State Director Jason Espinoza added: “There’s a bit of uncertainty on Main Street, as small business owners struggle to fill open positions. Our members want to hire, but the right applicants are in short supply.”
The report found that a seasonally adjusted net 16% of owners plan to create new jobs within the next three months. This is an increase of one percentage point from August and represents the fourth consecutive monthly rise in hiring plans. It is also the highest level recorded since January.
Additionally, 58% of small business owners reported hiring or attempting to hire in September—a five-point increase over August. Among those trying to hire, half said they had few or no qualified applicants for their available positions. Specifically, 29% cited few qualified candidates while 21% said there were none.
Labor quality was identified by 18% of respondents as their most significant problem—down three points from August—while concerns about labor costs increased by three points to reach 11%.
On compensation trends, a seasonally adjusted net 31% of small business owners reported raising pay in September (up two points), while a net 19% plan further increases over the next three months (down one point).
For more details on these findings and additional data from NFIB’s September Jobs Report visit https://www.nfib.com/foundations/research-center/monthly-reports/jobs-report/.
