Business
U.S. Businesses Lean on Talent and Tech to Power Growth Amid Rising Costs
DES MOINES, Iowa, November 19, 2025--Rising costs of business expenses and economic uncertainty are testing the resilience of U.S. businesses. The latest Principal Financial Well-Being Index℠ finds optimism among business leaders has declined, with confidence dipping to 6.5 out of 10 in October 2025 from a slight rebound of 6.8 in July 2025. The Index reveals a widening outlook gap between small to midsized businesses (SMBs) and large businesses, as small to midsized employers manage day-to-day
About this update from Principal Financial Group Inc
[{"type":"image","alt":"","displaySize":"","headline":null,"caption":"","credit":null,"className":"","disableSlideshowImg":false,"size":{"original":{"width":1024,"height":512,"url":"https://media.zenfs.com/en/business-wire.com/998f568baf74fe87f15292ea4ef72ebb"},"resized":{"url":"https://s.yimg.com/ny/api/res/1.2/foufV5VZLv7n3muxVoMSKQ--/YXBwaWQ9aGlnaGxhbmRlcjt3PTk2MDtoPTQ4MDtjZj13ZWJw/https://media.zenfs.com/en/business-wire.com/998f568baf74fe87f15292ea4ef72ebb","width":960,"height":480},"lightbox":{"url":"https://s.yimg.com/ny/api/res/1.2/00UNBRCk9FS_K.nO0VVHEw--/YXBwaWQ9aGlnaGxhbmRlcjt3PTIwNDg7aD0xMDI0O2NmPXdlYnA-/https://media.zenfs.com/en/business-wire.com/998f568baf74fe87f15292ea4ef72ebb","width":1024,"height":512}},"lazy":false},{"type":"text","content":"Employers focus on technology investments, workforce stability, and cash flow while navigating a softened economic outlook","length":122,"tagName":"p","attribs":{}},{"type":"text","content":"DES MOINES, Iowa, November 19, 2025--(BUSINESS WIRE)--Rising costs of business expenses and economic uncertainty are testing the resilience of U.S. businesses. The latest Principal Financial Well-Being Index℠ finds optimism among business leaders has declined, with confidence dipping to 6.5 out of 10 in October 2025 from a slight rebound of 6.8 in July 2025. The Index reveals a widening outlook gap between small to midsized businesses (SMBs) and large businesses, as small to midsized employers manage day-to-day pressures from rising costs, realized tariffs, and shifting economic conditions.","length":597,"tagName":"p"},{"type":"text","content":"Less than half (45%) of U.S. business decision-makers are optimistic about the overall economic outlook for the next 12 months. Optimism among SMBs (40%) remains lower than larger employers (53%), as SMBs continue to absorb a greater share of rising business expenses compared to large employers.","length":296,"tagName":"p"},{"type":"text","content":"Even with a softer economic outlook, SMBs are confident in their own growth. About six in ten (61%) expect to grow over the next year, despite feeling less optimistic about the broader local and national economy. Only 26% anticipate growth in their local economy in the next year, and just 19% expect the U.S. economy to grow.","length":326,"tagName":"p"},{"type":"text","content":""The impacts of cost increases and economic...