American economy transformed by surge In self-employed workforce during pandemicRecent WSJ Report and Pew Study illustrate growth in American small and solo entrepreneurship.
WASHINGTON, D.C. – Data from the Labor Department reported in The Wall Street Journal indicates there has been a significant surge among new entrepreneurs into the self-employment workforce. The report states: “The pandemic has unleashed a historic burst in entrepreneurship and self-employment. Hundreds of thousands of Americans are striking out on their own as consultants, retailers and small-business owners.”
“The data from the Labor Department confirms what we are seeing from our own spike in membership and across the self-employment demographic as a whole –people either were forced into self-employment due to the pandemic or made the leap voluntarily because they want to be their own boss,” said Keith Hall, President and Chief Executive Officer of the National Association for the Self-Employed (NASE), the nation’s leading advocate and resource for the self-employed and micro-business community. “Many Americans want the flexibility and autonomy of self-employment and that is a hallmark of being your own boss. We are thrilled to welcome these new entrepreneurs into our ranks and are committed to making sure our nation’s laws and regulations support their growth across all demographics.”
According to the WSJ report and the Labor Department:
“The move helps explain the ongoing shake-up in the world of work, with more people looking for flexibility, anxious about covid exposure, upset about vaccine mandates or simply disenchanted with pre-pandemic office life. It is also aggravating labor shortages in some industries and adding pressure on companies to revamp their employment policies….The number of unincorporated self-employed workers has risen by 500,000 since the start of the pandemic, Labor Department data show, to 9.44 million. That is the highest total since the financial-crisis year 2008, except for this summer. The total amounts to an increase of 6% in the self-employed, while the overall U.S. employment total remains nearly 3% lower than before the pandemic.”
The True American Spirit
“These new entrepreneurs represent the true American spirit of our nation and the future of our country’s economic prosperity. It is undeniable that the American economy has undergone an historic transformation over the last two years with record-levels of workers moving out of W-2 employment and into entrepreneurship,” Hall continued.
This is fresh off the heels of a recent Pew Research Study showing the self-employed workforce has rebounded to pre-pandemic levels. The study also indicated it was stronger than other parts of the workforce. The American small business community continues to adapt and innovate throughout the ongoing pandemic.
“As we move forward into the new legislative year, America’s small business community will need our lawmakers to continue to level the playing field on their behalf. The American worker has made their voice heard with their feet, leaving W-2 employment and entering self-employment in record numbers. Our laws and regulations must grow along with these economic changes to support existing, and new, small business owners by enabling them to grow and lift our economy into the future,” concluded Hall.
The National Association for the Self-Employed (NASE) is the nation’s leading advocate and resource for the self-employed and micro-businesses, offering a broad range of benefits to help entrepreneurs succeed and to drive the continued growth of this vital segment of the American economy.
The NASE NextBizThing helps identify and connect our nation’s smallest businesses. Need small business help? Check out NASE’s Ask the Experts for advice or the NASE Minute for small business support.
The NASE is a 501(c) (6) nonprofit organization and provides big-business advantages to hundreds of thousands of micro-businesses across the United States. For more information, visit the association’s website at NASE.org