ADP Report: Employers Added 216,000 More Jobs This Month

Private-sector employers hired nearly 100,000 more workers this month than in October, adding 216,000 more workers, almost all of them in the services sector.

HR services and payroll processor ADP and its partner, Moody’s Analytics, reported this morning that consumer-driven hiring especially by mid-size and large employers fueled the growth. Hiring was strong in most service sector industries lead by retail and business services. The latter group includes temp agency hiring and professional and technical services.

Surveys of economists in advance of the report showed they were expecting job growth in the 170,000 range. Their estimate may have been influenced by the modest 119,000 increase in October, which was revised down in today’s report from an initial 147,000.

The reaction to the election of Donald Trump as president also may have played a part. However, Mark Zandi, Moody’s chief economist, said, “There is little evidence that the uncertainty surrounding the presidential election dampened hiring.” He speculated that “because of the tightening labor market, retailers may be accelerating seasonal hiring to secure an adequate workforce to meet holiday demand, although total expected seasonal hiring may be no higher than last year’s.”

Job growth would have been even higher — the service sector added 228,000 jobs — but for job losses in manufacturing (-10,000) and in mining and natural resources (-4,000). Here’s a summary of the service sector:

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  • Trade/transportation/utilities 69,000
  • Information -10,000
  • Financial activities 12,000
  • Professional/business services 68,000
  • Education/health services 43,000
  • Leisure/hospitality 38,000
  • Other services 8,000

ADP’s National Employment Report offers some hints at what the U.S. Department of Labor’s comprehensive employment report will show when it is released Friday morning. Economists are expecting no change in the 4.9 percent unemployment report and combined government and private-sector job growth of about 175,000.

About the Author

John Zappe is contributing editor of ERE.net, and the former editor of the now closed Fordyce Letter. John was a newspaper reporter and editor until his geek gene lead him to launch his first website in 1994. He developed and managed online newspaper employment sites and sold advertising services to recruiters and employers. 

Besides writing for ERE, John consults with staffing firms and employment agencies, providing content and managing their social media programs. He also works with organizations and businesses to assist with audience development and marketing. In his spare time  he can be found hiking in the California mountains or competing in canine agility and obedience competitions.

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