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Wednesday, November 03, 2021

ADP: Private Employment increased 571,000 in October

by Calculated Risk on 11/03/2021 08:19:00 AM

From ADP:

Private sector employment increased by 571,000 jobs from September to October according to the October ADP® National Employment ReportTM. Broadly distributed to the public each month, free of charge, the ADP National Employment Report is produced by the ADP Research Institute® in collaboration with Moody’s Analytics. The report, which is derived from ADP’s actual data of those who are on a company’s payroll, measures the change in total nonfarm private employment each month on a seasonally-adjusted basis

“The labor market showed renewed momentum last month, with a jump from the third quarter average of 385,000 monthly jobs added, marking nearly 5 million job gains this year,” said Nela Richardson, chief economist, ADP. “Service sector providers led the increase and the goods sector gains were broad based, reporting the strongest reading of the year. Large companies fueled the stronger recovery in October, marking the second straight month of impressive growth.”

Mark Zandi, chief economist of Moody’s Analytics, said, “The job market is revving back up as the Delta wave of the pandemic winds down. Job gains are accelerating across all industries, and especially among large companies. As long as the pandemic remains contained, more big job gains are likely in coming months.”
emphasis added
This was well above the consensus forecast of 400,000 for this report.

The BLS report will be released Friday, and the consensus is for 413 thousand non-farm payroll jobs added in October. The ADP report has not been very useful in predicting the BLS report.