“Shortage of skilled labour, biggest factor holding back small businesses,” says ANZ survey
About 23 per cent of small businesses rate shortage of skilled employees as their biggest problem holding them back in an otherwise good looking last quarter where growth expectations have hit a two-year high.
It is important to note that some 97 per cent of enterprises in New Zealand are small businesses and include enterprises those with no employees, micro (1-5 employees), and small (6-19 employees) enterprises.
According to ANZ’s Business Micro Scope survey, June 2017, after a slow start to the year, the confidence among small businesses have rebounded in the June quarter, and their activity expectations are the highest in two years.
The ANZ Business Micro Scope is a quarterly indicator which focuses on the prospects of small businesses across New Zealand. The survey was launched in March 2012 to address a lack of ongoing research specific to the small business sector
According to the survey, a net 17 per cent of small firms are confident about business conditions over the year ahead, up from 14 per cent in the March quarter. The rise in confidence is mirrored in other key indicators for small business sentiment and activity tracked by the survey.
The ANZ composite measure – a key proxy for growth based on a firm’s own activity outlook, hiring, investment and profit expectations – improved to +22, its highest since Q1 2015.
The most positive outlook was from intermediate businesses (6 to 20 staff) which edged up from +27 to +29, while micro businesses (up to five staff) held at +15.
“As we approach the middle of the year, small businesses are increasingly upbeat about investment, employment and profit expectations,” said Antonia Watson, ANZ’s Managing Director Retail and Business Banking.
“They’re confident in the New Zealand business environment over the next 12 months, and their own growth prospects during that time.
“Profit expectations are particularly strong with a net 28 per cent of small firms expecting higher profits on the horizon – the highest for the past three years and a sentiment shared by businesses across a broad range of sectors,” Ms Watson said.
However, the quarterly survey again highlighted a significant problem holding back small business was a shortage of skilled labour.
A net 23 per cent of small businesses reported a lack of skilled employees as their biggest problem, followed closely by regulation on 22 per cent.
According to MBIE’s small business sector report 2014, small businesses employ about 30 per cent of the total work force.
About 23 per cent of small businesses rate shortage of skilled employees as their biggest problem holding them back in an otherwise good looking last quarter where growth expectations have hit a two-year high.
It is important to note that some 97 per cent of enterprises in New Zealand are small...
About 23 per cent of small businesses rate shortage of skilled employees as their biggest problem holding them back in an otherwise good looking last quarter where growth expectations have hit a two-year high.
It is important to note that some 97 per cent of enterprises in New Zealand are small businesses and include enterprises those with no employees, micro (1-5 employees), and small (6-19 employees) enterprises.
According to ANZ’s Business Micro Scope survey, June 2017, after a slow start to the year, the confidence among small businesses have rebounded in the June quarter, and their activity expectations are the highest in two years.
The ANZ Business Micro Scope is a quarterly indicator which focuses on the prospects of small businesses across New Zealand. The survey was launched in March 2012 to address a lack of ongoing research specific to the small business sector
According to the survey, a net 17 per cent of small firms are confident about business conditions over the year ahead, up from 14 per cent in the March quarter. The rise in confidence is mirrored in other key indicators for small business sentiment and activity tracked by the survey.
The ANZ composite measure – a key proxy for growth based on a firm’s own activity outlook, hiring, investment and profit expectations – improved to +22, its highest since Q1 2015.
The most positive outlook was from intermediate businesses (6 to 20 staff) which edged up from +27 to +29, while micro businesses (up to five staff) held at +15.
“As we approach the middle of the year, small businesses are increasingly upbeat about investment, employment and profit expectations,” said Antonia Watson, ANZ’s Managing Director Retail and Business Banking.
“They’re confident in the New Zealand business environment over the next 12 months, and their own growth prospects during that time.
“Profit expectations are particularly strong with a net 28 per cent of small firms expecting higher profits on the horizon – the highest for the past three years and a sentiment shared by businesses across a broad range of sectors,” Ms Watson said.
However, the quarterly survey again highlighted a significant problem holding back small business was a shortage of skilled labour.
A net 23 per cent of small businesses reported a lack of skilled employees as their biggest problem, followed closely by regulation on 22 per cent.
According to MBIE’s small business sector report 2014, small businesses employ about 30 per cent of the total work force.
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