SMEs feeling the squeeze with rising costs the top concern for 84.2% of global businesses heading into 2024: Peninsula Group reports

The global survey revealed:

Peninsula Group Chief Operations Officer Alan Price says "Despite the tough economic climate, there is an air of optimism amongst small business owners as we move into 2024. Compared to this time last year, while recession remains a top concern, it's been overtaken by rising costs – unsurprising given the ongoing cost-of-living crisis, conflicts in the Middle East and Ukraine, and soaring interest rates.

"Employers feeling the financial pinch are turning to reward and recognition and enhanced benefits instead of financial remuneration to aid retention in tough economic times. Here in the UK there is concern amongst small business owners around the affordability of pay raises, with a huge jump to National Minimum Wage and National Living Wage due in April.

"It's also interesting to see that the majority have returned to the office full time. While hybrid working is likely to remain for some businesses, this signals a behaviour shift that we can see reflected in the number of job vacancies listing a permanent office-first working model as a requirement.

"It's clear that this will be a tough year for many businesses, but there is also a mood of opportunity. Employers are seeing the value in retaining employees and, in turn, employees are reaping the benefits. More than half were given a pay raise and employers are looking at creative ways to retain employees, such as upskilling and training opportunities, or flexible working where a pay raise is not possible.

"As January starts – traditionally the time of year when most people look for new jobs – it's no surprise that business owners are looking at ways to upskill and retain their own employees, rather than having to spend time and money recruiting."

Notes to editor

Full survey data and more information is available HERE

About Peninsula

Peninsula protects employers across the globe with employment law, HR, and health & safety services.

From small start-ups to well-known brands, we support tens of thousands of businesses with HR and health & safety. Business owners reduce their legal risk and save time with our expert advice, documentation, and more.

www.peninsulagroupglobal.com

View original content:https://www.prnewswire.co.uk/news-releases/smes-feeling-the-squeeze-with-rising-costs-the-top-concern-for-84-2-of-global-businesses-heading-into-2024-peninsula-group-reports-302024812.html