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Data released today from Xero and AlphaBeta (part of Accenture) show that the continued recovery of small businesses has lifted jobs to pre-pandemic levels and reveal year-on-year revenue growth for 6 consecutive months.
“Our Xero Small Business Insights analysis for November paints a pleasing picture of the sector’s continued recovery,” said Trent Innes, Managing Director Australia and Asia, Xero.
“In particular, the return of small business jobs to pre-crisis levels is an encouraging sign that the sector is recovering strongly. We’re hopeful the rebuild will only be further boosted over the coming months, with many Australians looking to support small business over Christmas and as tourism resumes this summer.”
Xero data shows that small business jobs rose 1.5 per cent in November and are now at the same levels seen at the beginning of March.
This data is good news for small businesses as JobKeeper payments taper off.
In November, there were 2 million fewer people receiving JobKeeper payments than at the end of September. The Treasury forecasts that this will drop by another 540,000 by the end of December.
After the easing of restrictions from the second lockdown in Melbourne, small business employment rose 9.6 per cent in Victoria.
However jobs fell 5.9 per cent in South Australia in November after the three-day lockdown.
The data also shows that small business revenue rose 1.7 per cent year-on-year in November, which marks 6 consecutive months of positive year-on-year revenue growth.
Victoria’s revenue growth still lags behind the national average at 1.3 per cent year-on-year.
South Australia’s revenue also fell 3.1 per cent year-on-year amidst the November outbreak.
“[W]e can see from Victoria’s continued revenue growth, confidence can bounce back quickly. As South Australia’s situation improves, it’s likely next month’s analysis will show the state’s revenue return to growth levels expected before the November cluster,” added Mr Innes.
“We’re confident December data should reveal another month of positive jobs and revenue growth and we’re hopeful that results for the hardest hit industries – like hospitality, arts and recreation and tourism – will suggest a more wholesale rebound can be achieved, across every sector.”