US Adds 132,000 Private Jobs in August: ADP in Revamped Report

The US added 132,000 private-sector jobs in August, down from the 268,000 added in July, according to the revamped ADP National Employment Report released today.

The firm also reported the annual pay was up 7.6% in August. Payroll growth also slowed in July when compared to June.

The firm noted annual pay increases were running around 2% in early 2021, and although the pace of pay increases is elevated, its growth has flattened.

“Our data suggests a shift toward a more conservative pace of hiring, possibly as companies try to decipher the economy’s conflicting signals,” said Nela Richardson, chief economist at ADP. “We could be at an inflection point, from super-charged job gains to something more normal.”

Small businesses, those with not more than 50 employees, added 25,000 jobs in August, while midsize businesses with not more than 500 employees added 53,000 jobs and large businesses with more than 500 employees added 54,000 jobs.

Here are the jobs added in August by sector:

Goods-producing, up 23,000

• Natural resources/mining, up 2,000
• Construction, up 21,000
• Manufacturing, 0

Service-providing, up 110,000

• Trade/transportation/utilities, up 54,000
• Information, down 1,000
• Financial activities, down 20,000
• Professional/business services, down 14,000
• Education/health services, down 15,000
• Leisure/hospitality, up 96,000
• Other services, up 10,000

Additionally, the median change in annual pay was 7.6% for job-stayers in August and 16.1% for job-changers.

The ADP report draws data from a revamped methodology developed in collaboration with the Stanford Digital Economy Lab as an independent indicator of the change in US private employment and pay. It is no longer a forecast of the private payroll numbers produced by the US Bureau of Labor Statistics.

The BLS is slated to publish its report on August jobs data on Friday.

Original Article: (https://www2.staffingindustry.com/Editorial/Daily-News/US-adds-132-000-private-jobs-in-August-ADP-in-revamped-report-62837)