U.S. companies added a modest 150,000 new jobs in June, as reported by payroll firm ADP, indicating a slight slowdown in the labor market compared to previous months.
Economists surveyed by the Wall Street Journal had forecasted a gain of 160,000 jobs.
Nela Richardson, ADP’s chief economist, mentioned that job growth has been consistent but not evenly distributed. She highlighted that without the increase in hiring in leisure and hospitality, June would have shown more negative results.
While ADP’s predictions do not always align perfectly with the government’s official jobs report, they generally follow similar trends.
The government is expected to announce on Friday that 200,000 new jobs were added in June, according to a survey conducted by the Wall Street Journal.
Key points: The majority of new jobs were generated by large and medium-sized companies, with small businesses falling behind in employment growth.
Around 63,000 jobs, representing 42% of the total, were in the leisure and hospitality sector.
Employees who stayed in the same job experienced a 4.9% pay increase in the 12 months leading up to June, the smallest rise in almost three years.
ADP’s report focuses exclusively on private-sector hiring, while the official U.S. jobs report includes government employees.
Revised data from ADP indicated that job growth in May was slightly higher at 157,000.
