Nela Richardson reports that private-sector employers added 38,000 new jobs in August, falling short of market expectations.
Private-sector employers added 38,000 new jobs in August, according to data from payroll processor Automatic Data Processing ADP. This figure fell short of the 47,000 jobs expected by economists and was the weakest tally since January. While the education and healthcare sectors accounted for the majority of new hires, manufacturing and business and professional services saw job losses. Small firms with fewer than 50 employees hired the most, while large businesses with more than 500 employees followed. Nela Richardson, chief economist at ADP, stated that the labor market is characterized by choppy hiring. She noted that job switchers saw a base wage increase of 4.7% year-over-year, while those who stayed in their current roles saw a 3% increase. The Labor Department is scheduled to release its own August jobs data on Friday. Economists expect the government data to show a gain of 53,000 to 55,000 jobs.
Sources
-
U.S. businesses created the fewest new jobs in 7 months, ADP says. Hiring slowed in the summer.
MarketWatch
-
The private sector added 38,000 jobs last month, missing expectations, ADP says
Yahoo Finance
-
Soft Private Payrolls Data for August