Economic conditions have been steady in the U.S. for the year 2012 for small business owners, according to a survey done by a leading financial institution in New York the first half of 2013 will see a drastic drop in hiring employees. This is due to the recent presidential elections and the forecast for the economical conditions for 2013 looks to remain the same for the first quarter. Based on the first quarterly results of the economical conditions small business hiring will go up by 30%.
The survey also states that only 17% of the small business across the U.S. is reported to hire employees with minimum wages for the first quarter. This is close to a 40% drop when compared to the hiring for small businesses for the year 2012. The percentage of small business having no plans of hiring employees for the next half year (6 months) is 58% which is an all time high when compared to the percentage of non-hiring in the recent years. The reason given for this is due to the inflation of prices for basic living has gone up by 22% in the last year alone.
40% of small businesses in the U.S. have claimed that their business concerns financial positions have improved since the recent recession and are looking to hire employees to further develop their businesses. This seems to be promising as 22% of small businesses claim that their financial conditions are not doing well and are close to bankruptcy and are in no condition to hire employees rather they are looking to retain employees. Only 34% of small businesses financial conditions have remained the same and are looking to hire in small amounts.
The hiring plans for 2013 looks to go up in the second half of the year.