GLENVIEW, Ill.--(EON: Enhanced Online News)--SurePayroll Inc., a leader in providing online payroll to small businesses nationwide, today announced results for the October 2013 SurePayroll Small Business Scorecard® showing the government shutdown had a significant impact on businesses with 10 or less employees, causing them to rethink expectations for the future and question their leaders.
“Main Street continues to suffer the blows of uncertainty. The dry cleaner on the corner and the local insurance agent are paying a heavy price. They’re not feeling any support from the government and expectations continue to drop.”
The Scorecard optimism survey found that 90 percent of businesses with 10 or less employees felt their concerns are not being heard on Capitol Hill. Two-thirds said they would not reelect their Congressman or woman if the election were held today.
“Post-shutdown, there are positive economic indicators like a soaring stock market and some spectacular valuations for tech companies – masking an ugly reality for the majority of small businesses with 10 or less employees,” said SurePayroll CEO and President Michael Alter. “Main Street continues to suffer the blows of uncertainty. The dry cleaner on the corner and the local insurance agent are paying a heavy price. They’re not feeling any support from the government and expectations continue to drop.”
Prior to the government shutdown, 42 percent of small business owners expected to surpass third quarter results in the fourth quarter, according to the Scorecard. After the shutdown, however, that number dropped to only 27 percent. Only 38 percent plan to make new investments in their businesses in the fourth quarter, down from 45 percent prior to the shutdown and 54 percent in June.
Roughly half of small business owners cited health care costs, tax credits and a long-term solution to the debt ceiling as lingering concerns going forward.
Optimism stayed relatively flat at 62 percent in October, after being as high as 72 percent in August. Month-over-month hiring was down 0.1 percent and the average paycheck was flat.
Year over year, nationwide hiring is down 1.7 percent and paychecks are up 0.1 percent. Year over year, the South is the only region where hiring is up at 1.0 percent and paychecks there are up 1.0 percent. The West shows a hiring decline of 2.2 percent, with paychecks down 0.8 percent. Hiring in the Midwest is down 3.1 percent and paychecks are positive, up 1.5 percent. In the Northeast, hiring is down 4.1 percent and paychecks are down 1.7 percent.
As the first economic indicator created by a payroll company, the SurePayroll Scorecard has provided a monthly look at national hiring and paycheck trends since October 2004. SurePayroll's Scorecard compiles data from small businesses nationwide, and exclusively reflects the trends affecting the nation's "micro businesses" — those with an average of eight employees.
The full SurePayroll Small Business Scorecard infographic includes data for the top 35 MSAs. The October 2013 Scorecard is available now on the SurePayroll blog.
SurePayroll is the trusted provider of easy online payroll services to small businesses nationwide. Whether a business has 1, 10, or 100 employees, SurePayroll delivers peace of mind by combining innovative, industry-leading technology and personalized support from an award-winning, U.S.-based customer care team. SurePayroll also provides private-label and co-branded services for accountants and banking partners as well as offering efficient online solutions for managing 401(k) plans, health insurance, workers' compensation, employee screening and more. SurePayroll is a wholly owned subsidiary of Paychex. For more information, please visit www.SurePayroll.com. Follow us on Twitter – Circle us on Google+ – Connect with us on LinkedIn – Like us on Facebook.
Paychex, Inc. (NASDAQ:PAYX) is a leading provider of payroll, human resource, insurance, and benefits outsourcing solutions for small- to medium-sized businesses. The company offers comprehensive payroll services, including payroll processing, payroll tax administration, and employee pay services, including direct deposit, check signing, and Readychex®. Human resource services include 401(k) plan recordkeeping, section 125 plans, a professional employer organization, time and attendance solutions, and other administrative services for business. A variety of business insurance products, including group health and workers' compensation, are made available through Paychex Insurance Agency, Inc. Paychex was founded in 1971. With headquarters in Rochester, New York, the company has more than 100 offices serving approximately 570,000 payroll clients as of May 31, 2013. For more information about Paychex and our products, visit www.paychex.com.