Annual survey DEED/Minneapolis Federal Reserve examines business service firms’ current conditions, future expectations

Each year since 2006, the Minnesota Department of Employment and Economic Development (DEED) and the Federal Reserve Bank of Minnesota have conducted a survey of Minnesota business services firms, such as engineers, accountants, architects and others, about their outlook on industry trends and the business climate. The results of the 2020 survey were recently released and hold higher-than-normal intrigue due to the impacts of COVID-19.

Some interesting takeaways noted by DEED include that more than half of respondents (57%) reported a decline in revenue and exactly half of respondents reported a drop in employee productivity due to the pandemic. Nearly half of respondents (48%) said they expect to go back to normal operations in more than six months, while almost one-fifth (18%) said their business will not go back to normal.

Another interesting note is that despite a large shift toward working from home, 78% of respondents anticipate no change in the square footage their business occupies over the year versus 13% who anticipate a decrease and just 3% who anticipate an increase. 

The full report on this survey, as well as the survey results from past years, can be accessed on DEED’s website.