Welcome to the Small Business Run Down. Each day we bring you stories and trends that impact small business owners and their workforce.
Today we look at the President’s choice for the new head of the SBA, one Arizona state senator’s push for association healthcare plans, and a group of small businesses in Nevada who think paid sick leave is a good idea.
President Trump announced today that he intends to nominate US Treasurer Jovita Carranza to the top post at the Small Business Administration. Carranza, the child of Mexican immigrants, worked her way up the ranks at United Parcel Service, starting as a package handler and ending as the president for Latin American and Caribbean operations. If confirmed, she will become one of five women in the Cabinet.
The Number: 20. Jovita Carranza spent more than 20 years at UPS and became the company’s highest-ranking Latina employee.
The Quote: “Jovita’s experience — including time as Deputy Administrator for the Small Business Administration — will be an asset to President Trump and the SBA, as they continue to promote pro-growth economic policies, eliminate job-killing regulations, and fight for the small businesses that are the lifeblood of the American economy.”
Despite a recent ruling by a federal judge against President Trump’s association healthcare plans, a state senator is introducing a similar bill to Arizona’s state legislation. Senator Kate Brophy McGee believes that association health plans would help small business owners and self-employed people find better insurance rates by banding together with other businesses.
The Number: 12. The Attorneys General in 11 states and the District of Columbia successfully argued in federal court that association healthcare plans violate the Affordable Care Act passed by Congress during President Obama’s administration.
The Quote: “Take a one-man (or) a one-woman shop. Combine them in a 50,000-member pool … then it takes on the shape of big company buying insurance.”
A group of Nevada small business owners joined together yesterday to lend their support to legislation that requires businesses with more than 25 employees to provide earned paid sick days to workers. Currently, nearly half a million people in the state do not get paid when they call out sick from work. The SBOs in the group believe that providing paid sick days is an investment in worker retention and that the benefit outweighs the cost.
The Number: 40%. According to the Institute of Women’s Policy Research, 40% of Nevada’s private sector employees do not have paid sick leave from their employer.
The Quote: “During those nine years that my daughter was sick if I would have been an employee I don’t even want to think about what would have happened to my family.”
No matter what perks and benefits you offer, losing employees is inevitable. The tight labor market, however, has made workplace turnover more expensive than ever. Here’s a handy guide to determining if your company has a healthy employee retention rate and minimizing attrition.
The Number: 72.5%. The Bureau of Labor Statistics estimates that the average turnover rate for the accommodation and food services industry is 72.5%.
The Quote: “If the job requires late nights, travel, and weekend work, be sure to let them know upfront. People quit jobs that turn out to be different from their expectations.”