Main Street Health Report
May 2025
Labor and wage stats
Every month we measure how small businesses are actually doing, from the timesheets of more than 100,000 of them: who is working, how many hours, what they are paid, and how that compares with the same month in previous years.
Dip in ‘Employees Working’ signals cautious outlook for upcoming peak season
- Hourly employees
- 2M+
- Small businesses
- 100K+
- Measured, not surveyed
- Timesheet data
Hourly employees
Small businesses
Measured, not surveyed
Main Street at a glance
The top things to know this month
Employees Working
Dip in ‘Employees Working’ signals cautious outlook for upcoming peak season
Hours Worked
Gains in ‘Hours Worked’ reflect seasonal summer boost but they’re modest compared to prior years
Homebase data, by region
Business activity slows down in Southern and Western states, highlighting uneven regional growth
What the data shows
Each finding below takes one measure of Main Street, participation, hours, wages, hiring and turnover, and compares May 2025 with the same month in the two years before it. Every chart is drawn from the figures, which are published alongside it for anyone who wants to check or reuse them.
Employees Working
Labor Participation Growth Falters
Dip in ‘Employees Working’ signals cautious outlook for upcoming peak season
(Monthly change in 7-day average of “Employees Working”, relative to January of respective year)
| Category | 2023 | 2024 | 2025 |
|---|---|---|---|
| Jan – Feb | 1.4% | 2.1% | (1.4%) |
| Feb – Mar | 0.1% | 1.2% | 2.1% |
| Mar – Apr | 1.5% | 0.3% | 1.1% |
| Apr – May | 1.0% | 1.1% | 0.4% |
Hours Worked
Employee Activity Trails Prior Years
Gains in ‘Hours Worked’ reflect seasonal summer boost but they’re modest compared to prior years
(Monthly change in 7-day average of “Hours Worked”, relative to January of respective year)
| Category | 2023 | 2024 | 2025 |
|---|---|---|---|
| Jan – Feb | 1.5% | 2.7% | (1.4%) |
| Feb – Mar | 0.9% | 2.1% | 2.9% |
| Mar – Apr | 0.6% | (0.6%) | 0.6% |
| Apr – May | 1.6% | 2.0% | 1.2% |
Homebase data, by region
Northeast Shines Amid High Regional Variance
Business activity slows down in Southern and Western states, highlighting uneven regional growth
(Month-over-month change in core economic indicators, by Census region)
| Region | 2023 | 2024 | 2025 |
|---|---|---|---|
| Midwest | no data | +0.6% | 0.0% |
| Northeast | no data | 0.0% | +0.6% |
| Southeast | no data | −2.8% | −2.6% |
| Southwest | no data | −3.2% | −2.2% |
| West | no data | −1.0% | −1.7% |
| Mid-Atlantic | no data | −1.0% | −0.8% |
| Other | no data | −0.4% | −0.8% |
Region classification - Midwest: ND, SD, NE, KS, MN, IA, MO, WI, IL, IN, OH, MI; West: NV, UT, AZ, NM, CO, WY, MT, ID, OR, WA,
Employees Working
Outdoor Industries Boost Jobs, Growth Moderates
Strong seasonal hiring continues, though less vigorous compared to prior years
(Monthly change in 7-day average of “Employees Working”, relative to January of respective year)
| Category | 2023 | 2024 | 2025 |
|---|---|---|---|
| Jan – Feb | 1.4% | 2.1% | (1.4%) |
| Feb – Mar | 0.1% | 1.2% | 2.1% |
| Mar – Apr | 1.5% | 0.3% | 1.1% |
| Apr – May | 1.0% | 1.1% | 0.4% |
Entertainment includes events/festivals, sports/recreation, parks, movie theaters, and other categories.
Hourly Wages
Wage Growth Stagnates Ahead of Summer
Wages slightly decline, indicating that SMBs manage payroll more cautiously
(Percent change in average “Hourly Wages” across all jobs, relative to January 2022)
| Period | All industries |
|---|---|
| Point 1 | 1.3% |
| Point 2 | 1.1% |
| Point 3 | 2.7% |
| Point 4 | 3.3% |
| Point 5 | 3.7% |
| Point 6 | 4.4% |
| Point 7 | 5.1% |
| Point 8 | 6.0% |
| Point 9 | 7.3% |
| Point 10 | 7.7% |
| Point 11 | 9.4% |
| Jan'23 | 11.8% |
| Point 13 | 13.4% |
| Point 14 | 13.5% |
| Point 15 | 14.1% |
| Point 16 | 15.0% |
| Point 17 | 15.7% |
| Point 18 | 16.6% |
| Point 19 | 16.7% |
| Point 20 | 18.5% |
| Point 21 | 19.8% |
| Point 22 | 21.2% |
| Point 23 | 22.2% |
| Jan'24 | 24.7% |
| Point 25 | 25.9% |
| Point 26 | 25.8% |
| Point 27 | 26.5% |
| Point 28 | 26.9% |
| Point 29 | 27.5% |
| Point 30 | 27.9% |
| Point 31 | 28.5% |
| Point 32 | 29.3% |
| Point 33 | 29.8% |
| Point 34 | 30.9% |
| Point 35 | 31.4% |
| Jan'25 | 33.7% |
| Point 37 | 35.6% |
| Point 38 | 35.8% |
| Point 39 | 35.9% |
| May'25 | 35.9% |
Hourly Wages
Wage Growth Softens Across Industries
Softening wages indicate SMB caution
(Average “Hourly Wages” across all jobs)
| Category | May 2025 |
|---|---|
| Food & Drink | $13.32 |
| Entertainment | $14.30 |
| Retail | $14.94 |
| Health Care | $19.67 |
| Professional Services | $17.43 |
Number of Jobs Added
Hiring Growth in May Masks Persistent Weakness
While monthly growth accelerated in May, we are still down 4% year-on-year in absolute terms
(Monthly change in average “Number of Jobs Added” across all jobs)
| Category | 2023 | 2024 | 2025 |
|---|---|---|---|
| Jan – Feb | 2.0% | 3.1% | 5.0% |
| Feb – Mar | (3.3%) | 0.7% | 0.4% |
| Mar – Apr | 7.3% | 7.0% | 5.5% |
| Apr – May | 3.8% | 2.8% | 6.4% |
Number of Jobs Archived
Seasonal Turnover Rises Slightly
Turnover rates saw a seasonal uptick in May but remained 10% lower than the same period last year, as many businesses accelerated turnover in the earlier months.
(Monthly change in average “Number of Jobs Archived” across all jobs)
| Category | 2023 | 2024 | 2025 |
|---|---|---|---|
| Jan – Feb | (3.9%) | (1.7%) | 0.4% |
| Feb – Mar | (2.1%) | (0.1%) | (3.9%) |
| Mar – Apr | 3.7% | 9.6% | 2.5% |
| Apr – May | 7.7% | 6.0% | 3.4% |
How we measure Main Street
The dataset is based on Homebase data gathered from more than 100,000 businesses and 2 million hourly employees active in the US on our platform, one of the largest and most trusted sources of real-time data on employment growth across the small business landscape.
Data from prior years uses similar cohort-based logic. Unless indicated otherwise, daily figures are calculated relative to the median value for that specific day for the baseline month, net of the first four days of the month.
Every chart on this page is drawn from the underlying figures rather than copied from the PDF. Those figures come from the same model the report is built on, which is refreshed each month as more timesheets land, so a value here may differ slightly from the one printed in the original slide. The PDF stays available above as published.
If you use any content from this report, please include a link to joinhomebase.com.
Measured from timesheets, not surveys
- Hourly employees
- 2M+
- Small businesses
- 100K+
Hourly employees
Small businesses
- Hours worked
Calculated from hours recorded in Homebase timecards.
- Businesses open
Based on whether a business had at least one employee clock-in.
- Employees working
The distinct number of hourly workers with at least one clock-in.
- Wage inflation
The monthly change in average hourly wages at businesses that ran Payroll with Homebase in March 2026 and March 2025.
The story behind the numbers
Read the monthly analysis
Every month the team writes up what these figures mean for the people running the businesses behind them: what changed, what it costs, and what to do about it.
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