ADP: 543K jobs gained in November, beating expectations

The U.S. economy added more than half a million new private sector jobs in November as service-focused businesses ramped-up hiring into the holiday season, according to ADP’s National Employment Report . This growth is despite concerns about rising inflation and the omicron variant of the coronavirus could slow progress into the winter months. 

“The labor market recovery continued to power through its challenges last month,” said Nela Richardson, chief economist, ADP. “November’s job gains bring the three month average to 543,000 monthly jobs added, a modest uptick from the job pace earlier this year. Job gains have eclipsed 15 million since the recovery began, though 5 million jobs short of pre-pandemic levels. Service providers, which are more vulnerable to the pandemic, have dominated job gains this year. It’s too early to tell if the omicron variant could potentially slow the jobs recovery in coming months.” 

The highest job creation was seen in the hospitality and leisure sectors, while large businesses led job creation by company size. 

Bars, restaurants, hotels and other similar businesses gained 136,000 jobs, which were a part of the 424,000 jobs added to the services sector. 

Professional and business services gained 115,000 jobs; whereas, trade, transportation and utilities gained 78,000 jobs, and education and health services gained 55,000.

Construction increased by 52,000 jobs, while manufacturing was up by 50,000 jobs.

Companies with 500 or more employees added 277,000 jobs for the month, with growth particularly strong in those with 1,000 or more workers, which added 234,000 jobs to the total count. Firms with fewer than 50 employees added 115,000 jobs, while medium-sized firms hired 142,000 people.  

These figures reveal a steady growth in a labor market where job switching, skills mismatches and pandemic-related considerations are still making it tough for businesses to attract and retain employees.

About the ADP National Employment Report – The ADP National Employment Report is a monthly measure of the change in total U.S. nonfarm private employment derived from actual, anonymous payroll data of client companies served by ADP. The report, which measures nearly 26 million U.S. workers, is produced by the ADP Research Institute, a specialized group within the company that provides insights around employment trends and workforce strategy, in collaboration with Moody’s Analytics Inc.