ADP National Employment Report: Private Sector Employment Increased by 156,000 Jobs in July

Staff Report

Friday, August 2nd, 2019

Private sector employment increased by 156,000 jobs from June to July according to the July ADP National Employment Report.  Broadly distributed to the public each month, free of charge, the ADP National Employment Report is produced by the ADP Research Institute® 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.  

July 2019 Report Highlights

Total U.S. Nonfarm Private Employment:     156,000

By Company Size

- Small businesses:     11,000

1-19 employees     -18,000

20-49 employees     29,000

- Medium businesses:     67,000

50-499 employees      67,000

- Large businesses:     78,000

500-999 employees     18,000

1,000+ employees     61,000

By Sector

- Goods-producing:      9,000

Natural resources/mining      -6,000

Construction     15,000

Manufacturing     1,000

- Service-providing:     146,000

Trade/transportation/utilities     27,000

Information     -5,000

Financial activities     11,000

Professional/business services     44,000
     - Professional/technical services     20,000 
     - Management of companies/enterprises     6,000
     - Administrative/support services     18,000

Education/health services     37,000 
     - Health care/social assistance     35,000 
     - Education     2,000

Leisure/hospitality     26,000

Other services     6,000

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

- Franchise Employment**

Franchise jobs     41,900

"While we still see strength in the labor market, it has shown signs of weakening," said Ahu Yildirmaz, vice president and co-head of the ADP Research Institute. "A moderation in growth is expected as the labor market tightens further."

Mark Zandi, chief economist of Moody's Analytics, said, "Job growth is healthy, but steadily slowing. Small businesses are suffering the brunt of the slowdown. Hampering job growth are labor shortages, layoffs at bricks-and-mortar retailers, and fallout from weaker global trade."

The matched sample used to develop the ADP National Employment Report was derived from ADP payroll data, which represents 411,000 U.S. clients employing nearly 24 million workers in the U.S.  The June total of jobs added was revised up from 102,000 to 112,000.