Small-business optimism is back above the historical average following the end of the coronavirus surge over the summer, which has led to increased earnings and job openings.
The National Federation of Independent Business Optimism Index increased 1.4 points from July to 100.2 in August, slightly above the historical 46-year average.
The group’s survey also showed more firms looking to hire and more reporting higher earnings.
“We are seeing areas of improvement in the small-business economy as job openings and plans to hire are increasing,” said NFIB chief economist Bill Dunkelberg. “But many small businesses are still struggling and are uncertain about what the future will hold.”
Job growth continues to be strong in the manufacturing and construction industries, for example, but construction owners are having a particularly hard time finding skilled workers. The service sector is the main sector that is lagging due to coronavirus restrictions and is the key to stronger job growth in the coming months.
