The National Employment Report revealed that private sector employment increased by 195,000 jobs from July to August, growing the most in the service-providing sector.
Jobs in the good-producing sector, including construction and manufacturing, experienced an increase in August. However, mining took a hit last month as employment in the industry fell, according to ADP Research Institute and Moody’s Analytics.
“In August we saw a rebound in private-sector employment,” said Ahu Yildirmaz, vice president and co-head of the ADP Research Institute. “This is the first time in the last 12 months that we have seen balanced job growth across small, medium and large-sized companies.”
The chart below demonstrates the rate of increase since 2013:
(Click to enlarge; image courtesy of ADP)
The report reveals that the number of jobs added in July was revised down from 156,000 to 142,000.
Below is a breakdown of job segments that saw changes in employment between July and August:
Natural resources and mining: Decreased 2,000 jobs
Construction: Increased 6,000 jobs
Manufacturing: Increased 8,000 jobs
The service-providing sector increased by 184,000 jobs, including:
Information: Decreased 6,000 jobs
Financial activities: Increased 5,000 jobs
Professional and business services: Increased 35,000 jobs
Education and health services: Increased 58,000 jobs
Leisure and hospitality: Increased 42,000 jobs
Other services: Increased 11,000 jobs
“Businesses are holding firm on their payrolls despite the slowing economy,”said Mark Zandi, chief economist of Moody’s Analytics. “Hiring has moderated, but layoffs remain low. As long as this continues, recession will remain at bay.”
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.