With the start of the New Year, many small business employers are taking time to assess the state of their companies and hiring plans for the coming months. Likewise, workers at small businesses are reflecting on opportunities ahead.
According to CareerBuilder’s Annual Job Forecast, the majority of small business employers are feeling optimistic about the state of their businesses. Fifty-eight percent of small business employers feel they are in a better financial position than they were a year ago.
Meanwhile, workers are also hopeful about their job prospects. More than 1 in 5 workers at small businesses (22 percent) say they plan to change jobs in 2017.
Full-Time, Part-Time and Temporary Hiring Plans
Thirty-six percent of small business employers plan to add full-time, permanent employees in the first quarter of 2017, and 25 percent plan to hire part-time employees during the same period. Meanwhile, 37 percent plan to hire temporary or contract workers to supplement and maintain flexibility in their staffs.
Salary Increases Ahead
Nearly 2 in 3 small business employers (66 percent) expect salaries to increase at their organizations in the first quarter of 2017. Thirty-one percent of small business employers expect an average salary increase of 4-10 percent, and 5 percent expect and average increase of 11 percent or more.
At the same time, however, 66 percent of small business employers are concerned about the growing skills gap (where the skill sets workers have are not matching available jobs). In fact, 40 percent of small business employers currently have open positions for which they cannot find qualified candidates.
If you are concerned about the skills gap or unfilled positions, you may need to reassess your current recruitment strategy, consider re-skilling or up-skilling current workers or step up your employee referral efforts. Find more ways to bridge the skills gap at your small business here.