Paychex CEO: We see challenges in the small-end of the market

Group 1 - The small business job index has remained relatively stable in 2025, with continued moderation in wage inflation observed [1][2] - Workforce levels for clients have been essentially flat for the quarter, indicating challenges in finding qualified employees, particularly in small businesses [2] - Clients are managing costs by purchasing fewer ancillary attachment products than expected, which has influenced guidance discussions [3] Group 2 - Overall, small businesses are reported to be healthy, with a solid macro environment and no signs of recession [4] - Looking ahead to 2026, there is optimism due to potential tax clarity and easing interest rates [4]