The employment situation has been a drag on the economy for many years since the Great Recession, but that could be changing, as the improving jobs market may push economic growth.
As the economy grows at an accelerated pace, small business owners should be sure to revisit their small business insurance portfolios to ensure their policies are adequate enough to cover new assets.
June proved to be another strong month for the employment situation, with the private sector adding 188,000 jobs, up from 134,000 in the previous month, according to the ADP National Employment Report.
By company size, small businesses added the most jobs at 84,000, followed by medium businesses with 55,000 and large businesses at 49,000.
While the majority of positions came from the service providing sector, the goods producing sector showed positive growth after declining last month, which is a positive sign for the economy. The manufacturing industry added 1,000 jobs after months of declines, another sign that employment situation is headed in the right direction.
“The job market continues to gracefully navigate through the strongly blowing fiscal headwinds,” said Mark Zandi, chief economist at Moody’s Analytics. “Health Care Reform does not appear to be significantly hampering job growth, at least not so far. Job gains are broad based across industries and businesses of all sizes.”
Retailers add 28,000 jobs in June
Owners of small retail businesses might want to consider evaluating their liability insurance, as this industry is starting to show improvement.
As the economy expands, more customers are likely to frequent retail stores, which increases the chances of an incident occurring that leads to a lawsuit. Liability insurance can help protect against these types of occurrences, and avoid a situation where the stores’ doors are forced to close for good.
The retail industry had a positive month in June, as it added 28,000 jobs, according to the National Retail Federation. Every sector except furniture and home furnishings and health and personal care stores showed marked increases.
“Today’s strong jobs report is welcomed news for the economy and may signal positive and accelerated momentum for the second half of 2013,” NRF chief economist Jack Kleinhenz said. “Payrolls came in stronger than expected, including in the retail industry, which witnessed strong gains in building supplies, clothing and sporting goods. The economy is currently stable but traction and pace remain uncertain.”