This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

CEO And President Michael Alter Discusses August's SurePayroll Small Business Scorecard. Results Indicate That Nearly One In Five Small Business Owners Are More Likely To Hire An Independent Contractor Today Than A Full-time Employee.

Stocks in this article: PAYX

SurePayroll Inc., a leader in providing online payroll to small businesses nationwide, today announced results for the August 2013 SurePayroll Small Business Scorecard® showing optimism remaining at 72 percent, up from a year-over-year low of 45 percent in September 2012. Month-over-month hiring was down 0.2 percent in August and the average paycheck was up 0.2 percent.

Results from the Scorecard survey indicate that nearly one in five small business owners are more likely to hire an independent contractor today than a full-time employee. While 40 percent still would prefer a full-time employee, 38 percent are not looking to hire at all.

“It’s a fairly dramatic change in the small business mindset we’re seeing,” said SurePayroll CEO and President Michael Alter. “Ten years ago, if you had told me almost one in five small business owners were more likely to hire a contractor than a full-time employee, I would have been shocked. However, now it’s become much more common.”

Of those more likely to hire independent contractors, 75 percent said it was because they simply don’t need a full-time person to fulfill specialized roles in areas such as marketing, information technology or administrative work. Thirty-six percent also said hiring independent contractors reduces the tax and benefits costs.

“My concern is this is a further indicator of our jobless recovery, as small business owners are less likely than they have been in the past to hire for the long term,” Alter said. “It doesn’t bode well for stability and growth in the workplace.”

Year over year, nationwide hiring is down 1.8 percent and paychecks are up 0.3 percent, indicating slightly higher pay or more hours for existing workers. Year over year, the South is the only region where hiring is up at 1.2 percent and paychecks there are up 1.0 percent. The West shows a hiring decline of 3.0 percent, with paychecks down 0.6 percent. Hiring in the Midwest is down 3.2 percent and paychecks are positive, up 3.0 percent. In the Northeast, hiring is down 4.1 percent and paychecks are down 1.9 percent.

1 of 3

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 16,461.32 -153.49 -0.92%
S&P 500 1,927.11 -14.17 -0.73%
NASDAQ 4,382.8470 -36.6310 -0.83%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs