Small businesses are getting blamed for the economic downturn, according to a new survey by the National Association of Manufacturers.
The survey finds that small businesses have been the biggest culprits of the downturn in the past year, with more than half of small businesses blaming the government and unemployment, according a report by the NAM.
“Small businesses are the single biggest source of job losses during this downturn,” the report states.
“They’re the primary reason small businesses don’t have the resources to hire employees.”
In the report, the NAMS also found that “the largest portion of small business owners and managers are self-employed and their employees are unemployed or underemployed.”
In order to find a job in the private sector, small businesses face several challenges.
The NAM surveyed more than 1,500 small business owner-owners and managers to see which problems they are experiencing and how they are addressing them.
Many of the problems faced by small businesses, including hiring, pay and hours, can be resolved by a small business having fewer employees, according the report.
For example, small business employers can be encouraged to hire new employees and/or pay their employees more than the minimum wage, while retaining the same salaries for the same work.
Other solutions include increasing the number of employees, implementing paid family leave and increasing employee turnover.
Small business owners also have the opportunity to earn money for their businesses by selling their products and services, according NAM Chief Executive Robert Shulman.
“A small business that has the resources and is growing the right way can make a significant difference in the lives of its employees and customers,” Shulmans report stated.
The report states that businesses should make efforts to keep employees engaged.
“The most effective way to make your employees and your customers happy and satisfied is by keeping them in the loop,” Shuls report stated, adding that employers should also provide more flexible work arrangements to help workers and their families stay on top of their businesses and their schedules.
The American Community Survey was conducted between October and November 2017 and surveyed more in-person interviews with approximately 1,000 small business and related business owners across the country.
The National Association for Business Economics conducted the survey for the National Small Business Association.