Obviously, the economy is improving and business owners are optimistic. Small business owners are saying that they will be hiring people, expanding facilities, even investing additional funding in their business.

There is increasing optimism in the state.

Small-business owners are price takers. They're too small to be able to negotiate prices with vendors.

The overcrowding problem is likely to get worse.

Small businesses are an extremely important source of new jobs in California, and I am heartened that they are set to increase their staffing level this year. As those companies begin to hire additional workers, however, they are likely to find it more difficult to locate the best-suited individuals for the positions available, because the California labor market is becoming increasingly tight.

With the Fresno economy expanding in areas where more employees are skilled, retention may be more of a significant issue. In Fresno, a fundamental shift is going on. It requires them [businesses] to think more about retention of workers.