Mountain State Times

The latest report from the National Federation of Independent Business (NFIB) reveals that 35% of small business owners, on a seasonally adjusted basis, reported job openings they could not fill in January. This figure remains unchanged from December. The sectors with the highest number of job openings were transportation, construction, and manufacturing, while agriculture and finance saw the lowest.

In construction specifically, job openings increased by four points compared to last month but decreased by two points from the previous year.

While state-specific data is not available, NFIB West Virginia State Director Gil White commented on the situation in West Virginia: “West Virginia’s small businesses continue to struggle with the tight labor market in the New Year. As the Legislature prepares to start session this week, lawmakers should prioritize legislation that will strengthen small businesses and promote economic growth.”

The report indicates that 52% of small business owners were either hiring or attempting to hire in January, which is a decrease of three points from December. Of these owners, 47%—representing 90% of those hiring or trying to hire—reported few or no qualified applicants for their positions.

Additionally, 24% of owners reported having few qualified applicants for their open positions and 23% reported none at all.

There was no change in the percentage of businesses with openings for skilled workers at 29%, while openings for unskilled labor dropped by three points to 10%.

A net 18% of owners plan to create new jobs within the next three months, which is down one point from December.

The percentage of small business owners who cited labor quality as their top operating problem decreased by one point from December to 18%. Labor costs as a significant issue fell by two points from December to stand at 9%, which is only four points below its peak reading of 13% reached in December 2021.

On a seasonally adjusted basis, a net 33% of small business owners raised compensation in January—a rise of four points since December's lowest reading since March 2021. A net 20%, also seasonally adjusted, plan to raise compensation over the next three months, marking a decline of four points since December.