ADP: Private Sector Adds 216000 Jobs, Most in 5 Months
- Author: Delores Daniels Dec 02, 2016,
Dec 02, 2016, 1:30
The PayScale Index, which measures the change in wages for employed USA workers, forecasts 1 percent year-over-year wage growth for Q4 2016. The data was much higher than the downwardly revised 119k (revised from 147k) reported in October, and also well above the 165k analyst were expecting, according to a Thomson Reuters survey.
The government is set to release its November jobs report on Friday with the forecast around 180,000, which would be more than the 161,000 in October.
Hiring managers' need for more workers is helping to sustain the job-market progress that Federal Reserve officials have noted ahead of their December meeting, at which they're expected to raise interest rates for the first time in a year.
Service-providing employment rose by 228,000 jobs, which was driven by the professional and business services sector which added 68,000 jobs.
Americans' incomes increased at their fastest pace in six months in October, according to a separate report from the Commerce Department Wednesday. Core inflation, which the Fed monitors more closely and excludes volatile food and energy items, was unchanged at 1.7% over the past year.
Large businesses (500 or more employees) added 90,000 jobs, while medium-sized businesses (between 50 and 499 employees) added 89,000 jobs, and small businesses (fewer than 50 employees) added 37,000 jobs.
"Businesses hired aggressively in November and there is little evidence that the uncertainty surrounding the presidential election dampened hiring", Mark Zandi, chief economist of Moody's Analytics, said. Construction firms added 2,000 jobs, while manufacturing shed 10,000.
Overall, average monthly job gains have slowed to 181,000 this year from 229,000 in 2015. The unemployment rate is expected to stay unchanged at 4.9 percent.