ADP: September Private-Sector Employment Up 568,000

In the first of three key employment barometers this week, ADP, Vineland, N.J., said private-sector employment increased by 568,000 jobs from August to September.

The ADP National Employment Report said by company size, small businesses (1-49 employees) added 63,000 jobs; medium businesses (50-499) added 115,000 jobs and large businesses added 390,000 jobs.

By sector, goods-producing employers added 102,000 jobs, while service-providing employers added 466,000 jobs.

“The labor market recovery continues to make progress despite a marked slowdown from the 748,000 job pace in the second quarter,” said Nela Richardson, chief economist with ADP. “Leisure and hospitality remains one of the biggest beneficiaries to the recovery, yet hiring is still heavily impacted by the trajectory of the pandemic, especially for small firms. Current bottlenecks in hiring should fade as the health conditions tied to the COVID-19 variant continue to improve, setting the stage for solid job gains in the coming months.”

Employment indicators continue Thursday morning with the Initial Claims report from the Labor Department (8:30 a.m. ET). On Friday, the Bureau of Labor Statistics issues its monthly Employment Report on activity in September.

Mike Fratantoni, Chief Economist with the Mortgage Bankers Association, will provide commentary and analysis of the BLS employment report in the Monday, Oct. 11 edition of MBA NewsLink.