Between inflation and a tight labor market, retail’s small businesses can’t catch a break.
The U.S. economy added 263,000 non-farm jobs in November. This was roughly in line with the average growth over the prior three months but lower than the year’s average. The month’s biggest job losses occurred in retail trade, a backbone of Main Street small- to midsized businesses (SMBs). The leisure and hospitality sector led job gains for the month, while notable losses also occurred in transportation and warehousing.
A deeper dive by PYMNTS found wage volatility and inflation have impacted the sector’s growth and profitability. Job vacancies have been particularly challenging for Main Street retail SMBs. In PYMNTS’ November “Main Street Index Q3 2022” report, Main Street SMBs overall were found to be stabilizing. And in some cases, such as professional services and healthcare, SMBs are settling…
