Although U.S. employment rates rose in nearly every sector in November, experts believe American jobs have reached a plateau, according to the ADP and Moody's Analytics National Employment Report.
The National Employment Report indicates that private sector employment increased 179,000 jobs from October to November.
The chart below demonstrates the rate of increase since 2013:
(Click to enlarge)
ADP Vice President and Co-head Ahu Yildirmaz said although the labor market performed well, job growth decelerated slightly.
“Mid-sized businesses added nearly 70% of all jobs this month,” Yildirmaz continued. “This growth points to the mid-sized businesses’ ability to provide stronger wages and benefits. It also suggests they could be more insulated from the global challenges large enterprises face.”
The report revealed that construction jobs increased once again, and overall the goods-producing sector is predicted to increase by 16,000 jobs.
Below is a breakdown of job segments that saw increases in employment between October and November:
Natural resources and mining: Increase 2,000
Construction: Increase 10,000
Manufacturing: Increase 4,000
The service-providing sector is predicted to increase by 163,000 jobs, including:
Trade, transportation and utilities: Increase 18,000
Information: Decrease 1,000
Financial activities: Increase 8,000
Professional and business services: Increase 59,000
Education and health services: Increase 49,000
Leisure and hospitality: Increase 26,000
Other services: Increase 3,000
Moody’s Analytics Chief Economist Mark Zandi said job growth is strong but has likely peaked.
“This month’s report is free of significant weather effects and suggests slowing underlying job creation,” Zandi said. “With very tight labor markets, and record unfilled positions, businesses will have an increasingly tough time adding to payrolls.”
NOTE: This report is a monthly measure of the change in total U.S. non-farm private employment derived from actual, anonymous payroll data of client companies served by the company. The data is collected and processed with statistical methodologies similar to those used by the U.S. Bureau of Labor Statistics.