Almost three quarters of small businesses intend to recruit this year compared to 48 per cent in 2011, finds a survey.

Almost three quarters of small businesses intend to recruit this year compared to 48 per cent in 2011, finds a survey.

Only 20 per cent say they may make redundancies this year compared to 51 per cent in 2011, according to a study of more than 1,000 small companies by Peninsula Business Services.

Despite their aspirations to hire, 84 per cent of employers report that they will continue to monitor closely HR costs.

Peter Done, managing director of Peninsula says, ‘It is great to see optimism amongst small businesses; their intention to start recruiting again is significantly good news.

‘Small firms over the last 12 months have tightened their belt, become leaner and fitter to face new challenges, yet we are not completely out of the woods yet.’

Done stresses the need for small operators to continue to examine costs, maintain the bottom line, and get rid of wastage, recommending that business owners pay close attention to employees who fail to pull their weight.

‘Staff who are not up to the job should immediately be addressed. You cannot afford to carry passengers, and it’s not good for business or morale,’ Done says. ‘Re-training and motivational chats are on option but if individuals are not pulling their weight then follow HR laws and look to replace them.’


University graduates are a ‘great way to get enthusiastic workers at minimal costs’, adds Done. ‘They need the expertise whilst you get enthusiastic workers keen to make an impression at lower wage rates. Apprentices are also another option, keen to gain valuable experience and make a lasting impression.

'Low-cost recruitment can really help to maintain a healthy bottom line.’

See also: Hiring self-employed sales people