Small Business Employment Index Shows Some Traction
As Macro Indicators Improve, A “Wet Blanket” Curbs Enthusiasm
CLEVELAND -- January 4, 2013
The CBIZ Small Business Employment Index (SBEI), a barometer for hiring trends
for more than 3,500 companies with 300 or fewer employees, increased by 0.39
percent during December, following an increase of 0.82 percent in November.
ADP’s December jobs survey revealed that the private sector added 215,000
jobs, convincingly exceeding analysts’ estimates of 140,000 jobs and
surpassing November’s revised tally of 148,000 added jobs.
“As expected, and consistent with readings from the entire fourth quarter, our
Index shows a minimal .39% gain.A reading this low, while not negative, does
show that small businesses surveyed are still holding back on hiring, most
likely awaiting the results from Washington on tax rate changes as well as
spending cuts,” says Philip Noftsinger, business unit president for CBIZ
To view and/or use a graphic illustration that tracks and illustrates the
employment index, visit our blog here.¹
Additional take-away points from the November data set include:
*At-a-glance: Of the companies surveyed, 24 percent increased staffing
while 23 percent of the companies decreased employee headcounts.
Fifty-three percent of the companies surveyed maintained their number of
*Small business sector: The budget and tax battles in Washington, D.C.
continue to give pause to entrepreneurs and shrink their appetite for
risk, thereby continuing to mute the hiring by small businesses.
*What to watch: Even as the House of Representatives reached a bi-partisan
agreement on tax rates, the battle will continue on spending cuts as we
approach another vote on the debt ceiling.
“Unfortunately, the situation in Washington seems to be a ‘wet blanket’ on
what overall have been some encouraging macro numbers lately, such as housing
and consumer spending,” says Noftsinger.
CBIZ Payroll Services manages payroll services for more than 3,500 businesses.
Its index reflects a broad array of industries and geographies corresponding
to the markets across the United States where CBIZ provides human capital
services. The data represented by the SBEI is derived from a segment of
employers not completely accounted for by the ADP and Federal BLS employment
(1) The SBEI illustration is licensed under a Creative Commons
Attribution-NoDerivs 3.0 Unported License. Based on a work at
(2) The United States Department of Labor’s Bureau of Labor Statistics
Employment Situation Summary is due to be released on Friday, January 4, at
8:30 a.m. ET. Mr. Noftsinger is available for media interviews to discuss
employment trends and other payroll matters impacting the American small
About CBIZ, Inc. (NYSE:CBZ)
CBIZ, Inc. provides professional business services that help clients better
manage their finances and employees. CBIZ provides its clients with financial
services including accounting, tax and consulting, internal audit, merger and
acquisition advisory and valuation services. Employee services include
employee benefits consulting, property and casualty insurance, retirement plan
consulting, payroll, life insurance, HR consulting, and executive recruitment.
CBIZ also provides outsourced technology staffing and support services,
healthcare consulting, and medical practice management. As one of the largest
benefits specialists and one of the largest accounting, valuation, and medical
practice management companies in the United States, the Company’s services are
provided through more than 130 Company offices in 37 states. Visit our website
at www.cbiz.com and our blog, “Human Capitalizing,” at http://blog.cbiz.com.
Gregory FCA for CBIZ, Inc.
Jimmy Moock, 610-228-2125
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