“The term ‘Help Wanted’ has become obsolete in this recovery setback period,” said Paul Rauseo, managing director of the George S. May International Company. “Small business owners feel they do not have the need for more employees and, in fact, see sizable portions of their staff as an unnecessary expense.”
Among the respondents not hiring, 62 percent say they have no confidence in the economy sustaining the need for more employees, while 38 percent are simply replacing hours from employees cut by adding them on to existing employees’ workloads.
Too many small businesses cut staff when they need to cut costs, according to Rauseo. “Make the changes that will make the company better instead of damaging the very thing that made it successful in the first place – its employees,” Rauseo said.
According to the survey, 65 percent of small business owners have received more requests for job applications in the last month. “Business owners should view the high demand for employment as an opportunity to design commission-only sales forces, or employ part-time, seasonal workers,” Rauseo said. “The idea is to keep productivity high and employees motivated. If staffing new positions is not an option, employees should be cross-training to conduct different and more tasks to increase productivity.”
