by Bill McBride on 6/02/2016 08:18:00 AM
Thursday, June 02, 2016
Private sector employment increased by 173,000 jobs from April to May according to the May ADP National Employment Report®. ... The report, which is derived from ADP’s actual payroll data, measures the change in total nonfarm private employment each month on a seasonally-adjusted basis.This was close to the consensus forecast for 175,000 private sector jobs added in the ADP report.
Goods-producing employment dropped by 1,000 jobs in May after losing a 7,000 (revised) in April. The construction industry added 13,000 jobs, in line with the previous month. Meanwhile, manufacturing lost 3,000 jobs after losing 10,000 the previous month.
Service-providing employment rose by 175,000 jobs in May, a slight increase over April’s upwardly revised 173,000. The ADP National Employment Report indicates that professional/business services contributed 43,000 jobs, up from April’s upwardly revised 38,000. Trade/transportation/utilities grew by 28,000, up a bit from the 24,000 jobs added the previous month. Financial activities added 13,000.
Mark Zandi, chief economist of Moody’s Analytics, said, “Job growth has moderated this spring as energy companies and manufacturers shed jobs. Retailers are also more circumspect in their hiring. Despite the recent slowdown, job growth remains strong enough to reduce underemployment.”
The BLS report for May will be released Friday, and the consensus is for 160,000 non-farm payroll jobs added in May.
Posted by Bill McBride on 6/02/2016 08:18:00 AM