ADP Data on Company Hiring in Sync With Moderate U.S. Job GrowthBy
The gain in hiring at companies in July, along with upward revisions to the prior month, is consistent with moderate growth in U.S. employment, according to data released Wednesday from the ADP Research Institute in Roseland, New Jersey.
|Highlights of ADP Employment (July)|
The results showed steady job growth across a swath of industries from professional and business services to financial activities, construction and mining. Businesses are expanding their workforce with new hires, indicating sustained job-market progress that is helping underpin consumer spending, the biggest part of the economy. The ADP results also bode well for the private payrolls tally in the July jobs report due from the Labor Department on Friday.
“The American job machine continues to operate in high gear,” Mark Zandi, chief economist at Moody’s Analytics Inc. in West Chester, Pennsylvania, said in a statement. Moody’s produces the figures with ADP. “Job gains are broad-based across industries and company sizes, with only manufacturers reducing their payrolls. At this pace of job growth, unemployment will continue to quickly decline.”
“Job gains continued to be strong in the month of July,” Ahu Yildirmaz, co-head of the ADP Research Institute, said in the statement. “However, as the labor market tightens employers may find it more difficult to recruit qualified workers.”
- Hiring in construction rose by 6,000; factory payrolls dropped 4,000
- Professional and business services increased their workforce by 65,000 while education and health services together added 43,000 workers
- Companies employing 500 or more workers increased staffing by 45,000 jobs; payrolls rose by 83,000 at medium-sized businesses, or those with 50 to 499 employees; and small companies’ payrolls grew by 50,000