Paychex Jobs Index Rises 0.35 Points, Biggest April Gain Since 2025
Paychex’s Small Business Jobs Index climbed 0.35 percentage points to 99.16 in April, marking its largest one-month increase since February 2025 and a 0.39-point two-month gain. Hourly earnings growth held at 2.71%, while weekly hours grew 0.18% for the second consecutive month.
1. Index Growth Rebounds Strongly in April
The national Small Business Jobs Index advanced 0.35 percentage points to 99.16 in April, marking the largest one-month increase since February 2025 and a cumulative 0.39-point gain over two months, the strongest two-month performance since February 2023.
2. Regional and Industry Highlights
All four U.S. regions recorded higher employment growth in April, led by the Northeast’s 0.56-point rise and the West’s 0.50-point increase. The Midwest retained its lead at 99.55 for the 23rd straight month. Wisconsin (100.84) and Philadelphia (100.09) topped state and metro rankings, respectively.
3. Wage and Hours Trends
Hourly earnings growth held at 2.71% for the 18th consecutive month, while weekly hours worked grew 0.18% for a second month, a pattern seen only twice in five years. Weekly earnings growth climbed to 2.90%, its highest level since May 2024, with one- and three-month annualized rates exceeding 4%.
4. Implications for Paychex
Rising small-business employment and hours suggest increased payroll processing volumes, potentially boosting Paychex’s revenue from service fees. Sustained wage gains and job growth across key regions and industries may support long-term demand for its HR and payroll solutions.