Private sector job growth surges in October, ADP says
US private sector added 233K jobs in October
Companies in the private sector added 233,000 jobs in October, payroll processing firm ADP said on Wednesday.
The figure is well above economists’ estimates of 114,000 jobs and is the highest since July 2023. September's larger-than-expected increase was revised higher to 159,000.
"Even amid hurricane recovery, job growth was strong in October," said Nela Richardson, ADP’s chief economist. "As we round out the year, hiring in the U.S. is proving to be robust and broadly resilient."
Jobseekers talk to recruiters during the New York Public Library's annual Bronx Job Fair & Expo at the Bronx Library Center in the Bronx borough of New York on Sept. 6, 2024. (Yuki Iwamura/Bloomberg via Getty Images / Getty Images)
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Large businesses – those with 500 or more employees – added 140,000 jobs in the month. Businesses with 50 to 499 employees hired 86,000 workers, and establishments with fewer than 50 employees added 4,000 jobs.
Companies in the private sector added 233,000 jobs in October, payroll processing firm ADP said on Wednesday. (Photo by Paul Bersebach/MediaNews Group/Orange County Register via Getty Images / Getty Images)
The education and health services sector added the most jobs in October – 53,000 – while trade, transportation and utilities added 51,000. The leisure and hospitality sector added 37,000 jobs in the month.
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Hiring in the construction and natural resources/mining sectors totaled 37,000 and 4,000, respectively.
A construction worker in Raleigh, North Carolina, on July 17, 2024. (Photographer: Allison Joyce/Bloomberg via Getty Images / Getty Images)
The only sector to report losses in October was manufacturing, which saw a decline of 19,000.
Job creation was concentrated in the South, where 77,000 jobs were added. The Midwest added 63,000 jobs while the Northeast and West added 48,000 and 44,000 jobs, respectively.
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ADP also said wages grew 4.6% from a year ago.
The ADP report precedes the Bureau of Labor Statistics' nonfarm payrolls data, which is due Friday. Economists surveyed by LSEG say the economy likely added 115,000 jobs in October and expect the unemployment rate to hold steady at 4.1%.