Welcome to the Small Business Weekly Rundown. Each week, we bring you stories and trends that impact small business owners and their workforce.
Small Business News Highlights:
- Small businesses lag behind large corporations in pandemic recovery
- Delta variant threatens small businesses once more
- U.S. economy poised for a productivity boom
- A look at likely changes to the post-pandemic workplace
Small businesses lag behind large corporations in pandemic recovery
“Small businesses have a harder time absorbing increased costs and passing them along.”
U.S. small businesses are lagging behind their corporate counterparts when it comes to recovering from the COVID-19 pandemic.
According to a new survey from Salesforce, over half of small businesses missed out on growth opportunities due to staff shortages, with many of these same businesses reporting an 11% drop in revenue over the past 6 months.
Unlike big businesses, small and medium-sized businesses are not able to keep up with rising labor costs.
Delta variant threatens small businesses once more
“I’ve been investing in September being this significant boom. Now it does not look like it’s going to happen.”
Small business owners who have been hanging on by a thread, waiting for the pandemic to pass, have been dealt another blow by the Delta variant of the COVID-19 virus.
As big corporations continue to keep workers at home instead of in the office, small businesses like shops, cafes, and retailers won’t see the normal amount of foot traffic that they’re counting on to drive up revenue.
U.S. economy poised for a productivity boom
“I do think we are in a productivity boom/ The pandemic forced us all to learn to use technologies at a rapid pace. It was tech adaptation on steroids.”
A quick shift toward certain types of technology, coupled with large-scale government investments has caused many economists to predict that the United States is about to see a big boom in productivity.
The boom doesn’t necessarily involve U.S. workers, however, as many companies have begun adopting robots and Artificial Intelligence (AI) as a means to supplement the workforce.
A look at likely changes to the post-pandemic workplace
“There was an evolution of the workplace that was already underway. What the pandemic did was pour fuel on that, and accelerate that transformation five to 10 years from where it might have been otherwise.”
As scientists learn more about the coronavirus, employers are fine-tuning return-to-work plans for employees. Though the Delta variant may postpone those plans, most employment experts agree that people will eventually end up back in the office.
When employees do actually wind up back in the office, employers will most likely be attempting to sanitize the air rather than shared surfaces. Other changes will focus on accommodating hybrid work models that involve “hot desking.”
The Latest from Workest
This week for Workest, Riia O’Donnell looks at the ins and outs of creating a comprehensive maternity and paternity leave policy.
Meanwhile, Grace Ferguson takes a deep dive into the payroll rule for employees who receive tips.
Finally, before we say goodbye for the week, here are 3 things you should know:
- Gen Z workers wonder if there’s more to employment than remote work.
- Here are 5 tips for helping employees navigate life post-pandemic.
- In case you’re wondering, “There is no magical way to earn a full-time salary without working full-time.”