ADP: February Private-Sector Employment Up 117,000

Ahead of this Friday’s employment report from the Bureau of Labor Statistics and this morning’s weekly initial claims for unemployment insurance report from the Labor Department, ADP, Roseland, N.J., said private-sector employment increased by 117,000 jobs from January to February.

The ADP National Employment Report said by company size, small businesses (1-49 employees) added 32,000 jobs in February; medium businesses (50-499 employees) added 57,000 jobs; and large businesses added 28,000 jobs.

By Sector, results were mixed. Goods-producing employers cut 14,000 jobs in February, mostly in manufacturing. The bulk of job creation took place in the services-providing industry, which added 131,000 jobs in February.

“The labor market continues to post a sluggish recovery across the board,” said Nela Richardson, chief economist with ADP. “We’re seeing large-sized companies increasingly feeling the effects of COVID-19, while job growth in the goods producing sector pauses. With the pandemic still in the driver’s seat, the service sector remains well below its pre-pandemic levels; however, this sector is one that will likely benefit the most over time with re-openings and increased consumer confidence.”

The weekly initial claims report comes out this morning at 8:30 a.m. ET. The February employment report comes out on Friday at 8:30 a.m. ET. MBA Chief Economist Mike Fratantoni will provide commentary and analysis for MBA NewsLink.