Optimism among small business owners in Saskatchewan bumped up a bit in August. The Canadian Federation of Independent Business says the monthly Business Barometer sneaked up 1.1 points to an index of 55.4. Still, that is 5 points behind the national average. Marilyn Braun-Pollon, Vice-President Prairie and Agri-business says Saskatchewan’s index is still 10 points below the range of index levels normally associated with an economy that is growing at its potential. Hiring plans also remain weak. Only 5 percent of responding businesses plan on hiring staff in the next three months compared to 13 per cent who are planning on reducing staff.
27 per cent of businesses in the province say their overall state of business is good. Compare that to 41 per cent nationally. Insufficient domestic demand is the main operating challenge for 52 per cent of businesses here. That’s followed by a shortage of skilled labour at 28 per cent.