Private companies added 190,000 jobs last month, according to this morning’s release of the monthly ADP National Employment Report. That’s in line with economists’ predictions, which averaged 185,000 jobs added, according to Reuters.
“The job market is red hot, with broad-based job gains across industries and company sizes,” said Mark Zandi, chief economist of Moody’s Analytics, which produces the report with ADP. “The only soft spots are in industries being disrupted by technology, brick-and-mortar retailing being the best example. There is mounting threat that the job market will overheat next year.”
Where Jobs Are Growing
“The labor market continues to grow at a solid pace,” said Ahu Yildirmaz, vice president and co-head of the ADP Research Institute. “Notably, manufacturing added the most jobs the industry has seen all year. As the labor market continues to tighten and wages increase it will become increasingly difficult for employers to attract and retain skilled talent.”
Manufacturing added 40,000 jobs last month, while construction shed 4,000 jobs. Mining was flat for November.
The service-providing sector added 155,000 jobs in total. Gains were centered in professional/business services (+47,000 jobs), trade/transportation/utilities (+36,000 jobs), healthcare (+31,000 jobs), leisure/hospitality (+25,000 jobs) and education (+23,000 jobs).
Mid-sized businesses (50-499 employees) added the most jobs last month at 99,000. Large businesses (500+ employees) added 41,000 jobs, while small businesses (fewer than 50 employees) added 50,000 jobs.
Friday’s report from the Labor Department could show a boost from an early start to the holiday shopping season and continued rebuilding after the hurricanes, says Joe Brusuelas, chief economist for consulting firm RSM U.S, speaking with USA Today. Economists polled by Reuters forecast the addition of 200,000 jobs to non-farm payrolls, and an unemployment rate holding steady at 4.1 percent.
The Bureau of Labor Statistics’ report will also show wage growth for the month. The PayScale Index, which measures the change in wages for employed U.S. workers, showed 2.8 percent year-over-year growth for Q3 2017.
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