The Small Business Employment Index remained essentially flat at 100.2 in June, down from 100.3 in May. This is the fourth consecutive month in which the Index has declined. The reading is below the 2025 average of 101.2 but still slightly above the historical average of 100.0.
“Nationally, it looks like small business owners … are still controlling costs by pausing plans to increase employee compensation. Nowhere is that felt more acutely than in Oregon, where our minimum wage increases occur annually and automatically on July 1,” said Anthony Smith, NFIB Oregon State director.
“This year, the inflation-adjusted wage increase amounts to 50 cents per hour, per employee, whether small businesses can afford additional labor costs or not,” he said.
The NFIB Small Business Employment Index is a measure of the current state of the small business labor market. The Index integrates actual and planned changes in employment and employee compensation into a singular data point. A higher Index reflects an overall tighter labor market; a lower Index reflects an overall weaker labor market.
Overall, 62% of owners reported hiring or trying to hire in June, up 7 points from May. Fifty-one percent of owners (84% of those hiring or trying to hire) reported few or no qualified applicants for the positions they were trying to fill (up 5 points). Twenty-seven percent reported few qualified applicants (up 3 points), and 24% reported none (up 2 points).
