As the CEO of the second-largest payroll processor in the country, Paychex’s Marty Mucci has his finger on the pulse of small- and medium-sized business sentiment.
“We’re growing very consistently in small business job growth right now, and we’re seeing wages up, which is a very good thing, obviously, for the consumer, those employees, buying more and I think that’s going to add to business confidence,” Mucci told Cramer on Tuesday. “And you see from the company side, really, our HR outsourcing is one of the fastest-growing segments of our business and that’s adding more to the clients that we already have.”
But more important to Cramer was the recovery in the hurricane-stricken areas of Texas and Florida, for which Mucci had a fairly positive outlook.
“We feel that, for Houston and Florida … probably for the next month or so, we’ll see businesses down. The hours worked we saw drop dramatically, obviously. But then, typically, depending on whether those businesses can come back or not, but we think they will, you’ll see an uptick, frankly, in small business as landscapers and roofers and all of those contractors come into those areas to help them recover. So we really think that that’ll probably offset the downsizing of some of the businesses,” the CEO said.