Business
Hourly Earnings Growth for U.S. Small Business Workers Increases and Job Growth Slows Amid Tight Job Market
ROCHESTER, N.Y.--(BUSINESS WIRE)-- According to the Paychex Small Business Employment Watch, hourly earnings growth increased slightly to 3.34%, ending a
About this update from Paychex, Inc.
[{"type":"text","content":" ROCHESTER, N.Y.--(BUSINESS WIRE)--\nAccording to the Paychex Small Business Employment Watch, hourly earnings growth increased slightly to 3.34%, ending a nearly two-year trend of deceleration, and job growth slowed in April. U.S. small businesses with fewer than 50 employees continued to add jobs but at a slower pace with the Small Business Jobs Index standing at 100.12. The growth in weekly hours worked for employees also slowed for the 13th consecutive month, down -0.41% in April.\n\nThis press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20240430349010/en/Small businesses continued to add jobs in April but at a slower pace. Meanwhile, hourly earnings ticked up to 3.34% for the month, ending a nearly two-year trend of deceleration. (Graphic: Business Wire)\n“Our jobs index remains over 100, indicating continued year-over-year employment growth, yet the pace of growth has slowed,” said John Gibson, Paychex president and CEO. “Demand for qualified workers continues to outweigh supply, which may be forcing employers to consider offering higher wages to attract and retain talent.”\n\n\n“Hourly earnings growth increased to 3.34% in April, ending a decline that began in mid-2022.” Gibson added. “We continue to see employers controlling hours worked as weekly earnings growth is below three percent again in April, indicating that while some workers are seeing increases in their hourly rate, they may not be taking more home.”\n\n\nJobs Index and Wage Data Highlights:\n\n\n\nAt 100.12, the national jobs index continues to represent positive job gains but is down 1.06 percentage points from last year (101.18).\n\n\n\nHourly earnings growth increased to 3.34% in April, marking the end of a steady deceleration that began mid-2022. However, as weekly hours worked growth (-0.41%) remains negative year-over-year, weekly earnings growth is below three percent again in April (2.88%).\n\n\n\nThe West (3.75%) leads regional hourly earnings growth for the 11th consecutive month. Washington (4.91%) and Seattle (5.11%) tops states and metros, respectively, for hourly earnings growth among U.S. small business workers.\n\n\n\nThe rate of small business job growth decelerated across all industries in April, though Education and Health Services (101.60) remains one of the strongest sectors for job gro...