ADP: U.S. Private Sector Adds 125K Jobs in October, Hitting Consensus

Total nonfarm private sector employment increased by 125,000 from September to October, according to the ADP National Employment Report. That hits the consensus forecast.

Forecasts ranged from a low of 40,000 to a high of 190,000. The consensus forecast was 125,000, exactly.

“While job growth continues to soften, there are certain segments of the labor market that remain strong,” said Ahu Yildirmaz, vice president and co-head of the ADP Research Institute. “The goods producing sector showed weakness; however, the healthcare industry and midsized companies had solid gains.”

The goods-producing sector lost 14,000 jobs in October, including

By Company Size 

– Small businesses:     17,000

• 1-19 employees     -12,000 
• 20-49 employees     30,000

– Medium businesses:      64,000

• 50-499 employees     64,000

– Large businesses:     44,000

• 500-999 employees     10,000 
• 1,000+ employees     33,000

By Sector

– Goods-producing:     -13,000

• Natural resources/mining     -4,000 
• Construction     -4,000 
• Manufacturing     -4,000

– Service-providing:     138,000

• Trade/transportation/utilities     32,000 
• Information     3,000 
• Financial activities     17,000 
• Professional/business services     18,000
     – Professional/technical services     11,000 
     – Management of companies/enterprises     4,000 
     – Administrative/support services     3,000 
• Education/health services     41,000 
     – Health care/social assistance     35,000 
     – Education     5,000 
• Leisure/hospitality     19,000 
• Other services     9,000

* Sum of components may not equal total, due to rounding. 

– Franchise Employment

• Franchise jobs     30,100