Close

UPDATE: ADP Employment Change (May) 173K vs 173K Expected

June 2, 2016 8:15 AM EDT
(Updated - June 2, 2016 8:16 AM EDT)

  • ADP Employment Change (May) 173K vs 173K Expected

Private sector employment increased by 173,000 jobs from April to May according to the May ADP National Employment Report. Broadly distributed to the public each month, free of charge, theADP National Employment Report is produced by ADP in collaboration with Moody's Analytics. 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.

May 2016 Report Highlights*

View the ADP National Employment Report Infographic atwww.adpemploymentreport.com.

Total U.S. Nonfarm Private Employment: 173,000

  • By Company Size
    • Small businesses: 76,000
      • 1-19 employees 38,000
      • 20-49 employees 38,000
    • Medium businesses: 63,000
      • 50-499 employees 63,000
    • Large businesses: 34,000
      • 500-999 employees 11,000
      • 1,000+ employees 24,000
  • By Sector
    • Goods-producing -1,000
    • Service-providing 175,000
  • Industry Snapshot
    • Construction 13,000
    • Manufacturing -3,000
    • Trade/transportation/utilities 28,000
    • Financial activities 13,000
    • Professional/business services 43,000

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

Payrolls for businesses with 49 or fewer employees increased by 76,000 jobs in May, down from an upwardly revised 101,000 in April. Employment at companies with 50-499 employees increased by 63,000 jobs, up from last month's 39,000. Employment at large companies -- those with 500 or more employees -- increased by 34,000, up from April's 25,000. Companies with 500-999 employees added 11,000 and companies with over 1,000 employees added 24,000 this month.

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.

"Job creation appears to have slowed as we move further into 2016," said Ahu Yildirmaz, VP and head of the ADP Research Institute. "Challenging global conditions affecting hiring at large companies and a tightening labor market for skilled workers are among the factors that may be contributing to the slowdown."

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."



Serious News for Serious Traders! Try StreetInsider.com Premium Free!

You May Also Be Interested In





Related Categories

ETFs, Economic Data

Related Entities

ADP Employment Report