Why It's Better To Work For A Big Corporation Than A Small Business

An AP article is getting passed around about how small businesses are bad at creating jobs.

The article mentions the work of economist Kelly Edmiston on how jobs at small businesses aren't very good in the first place. Here's what she wrote in a paper a few years ago:

Knowing that small businesses create a significant share of new jobs, it is natural to ask how these jobs compare to those at larger firms. Simply put, large firms offer better jobs and higher wages than small firms. Benefits appear to be better at large firms as well, for everything from health insurance and retirement to paid holidays and vacations. Finally, job turnover, initiated by both employers and employees, is lower at large firms. The lower rates of employee-initiated turnover suggest that job satisfaction and mobility are relatively greater at larger firms. Lower rates of employer-initiated separations suggest that jobs at larger firms are more stable.

Edmiston includes charts showing that wages and job security are better at larger firms.

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