Private Payrolls in November: ADP Reports 146,000 Growth, Below Expectations
Private payrolls growth in November fell short of expectations, signaling a slowdown in the labor market, as per a recent report from ADP. Companies added 146,000 jobs during the month, which was below the revised 184,000 in October and lower than the Dow Jones estimate of 163,000. It seems like the job market is experiencing some turbulence, affecting various sectors differently.
Key Details of the Report
Education and health services took the lead in job creation, adding 50,000 positions in November. Following closely behind was the construction sector, which saw 30,000 new jobs. Additionally, trade, transportation, and utilities contributed 28,000 new jobs, while the other services category added 20,000 positions. However, the manufacturing industry took a hit, losing 26,000 jobs during the month. Small businesses with fewer than 50 employees also reported a decrease of 17,000 jobs. Insights from ADP’s Chief Economist
Wage growth saw a positive acceleration, reaching 4.8% in November, a faster increase compared to October. Nela Richardson, ADP’s chief economist, acknowledged the overall healthy growth for the month but noted that industry performance was mixed. Richardson highlighted that manufacturing displayed its weakest performance since the spring, while financial services and leisure and hospitality sectors also showed signs of softness. Discrepancy with BLS Report
Despite falling below expectations, ADP’s job count surpassed the Bureau of Labor Statistics’ (BLS) nonfarm payrolls count for October, which reported an increase of just 12,000 jobs. The BLS report, set to be released on Friday, is anticipated to show a growth of 214,000 jobs, according to Dow Jones. Factors such as the Boeing strike and storms in the Southeast that impacted the October total are expected to contribute to this significant growth.
Wage growth saw a positive acceleration, reaching 4.8% in November, a faster increase compared to October. Nela Richardson, ADP’s chief economist, acknowledged the overall healthy growth for the month but noted that industry performance was mixed. Richardson highlighted that manufacturing displayed its weakest performance since the spring, while financial services and leisure and hospitality sectors also showed signs of softness.
Discrepancy with BLS Report
Despite falling below expectations, ADP’s job count surpassed the Bureau of Labor Statistics’ (BLS) nonfarm payrolls count for October, which reported an increase of just 12,000 jobs. The BLS report, set to be released on Friday, is anticipated to show a growth of 214,000 jobs, according to Dow Jones. Factors such as the Boeing strike and storms in the Southeast that impacted the October total are expected to contribute to this significant growth.
As economic indicators continue to fluctuate, it is crucial to closely monitor the job market trends and their impact on various sectors. Stay informed with reliable sources to make informed decisions in these uncertain times.
Remember, behind every statistic and report, there are real people whose livelihoods are affected. Let’s strive to not just analyze numbers but also understand the human stories behind them.
