Job Losses Hardest For Small Businesses

Small businesses appear to be hit hardest in this current economic downturn according to the latest National Employment report by ADP. In December 2008, small businesses, which ADP defined as those with fewer than 50 workers, lost 281,000 jobs out of a national total, for all businesses, of 693,000.

As labor makes up approximately 80% of a small businesses total cost, these figures show that the small business owner is having to make drastic cuts to survive. As the downturn continues, this acceleration of job losses will be seen in medium sized as well as small businesses.