Many of us might be looking forward to the two days off tomorrow and Tuesday due to the Diamond Jubilee bank holiday. However, many UK small businesses are feeling the squeeze, especially with staff leave piling up, days without trading and even facing higher wage bills if doors are kept open.
More than a third of British SMEs are unhappy with having to deal with two days off. This has been revealed by the latest Close Business Barometer, a survey that looks at the views of 500 SME business owners across the UK.
In such harsh economic times, many businesses struggle on a daily basis. Just keeping afloat can be a problem – especially with the unavailability of bank funding for some, late payment issues and low growth figures in many sectors.
34% of UK SMEs are unhappy about the extra bank holiday, but do concede there is nothing they can do about it. 9% were strongly resistant, and were appalled by the fact they would have to miss a whole day’s trading and revenue.
This problem is compounded by the fact that many employees will choose to take their days off either side of the bank holiday – therefore getting a week off by only taking a few days of their leave. This means many SMEs will be operating with a depleted work force for near on a fortnight.
While many businesses will shut for the bank holidays, the retail and hospitality sectors will of course stay open. This means SMEs could be hit with higher wage bills on those days, or need to give staff days off in lieu of working on the bank holiday.
All this adds up to an unwelcome strain on the SME sector, which is already dealing with a harsh economic climate. The financial implications of the extra bank holiday are perhaps something that many firms could do without.
That said, here at Select Factoring we do enjoy a good street party – so if you’re able to, make sure to enjoy those extra days off.