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ADP Reports 41,000 December Private Jobs, Highlighting a Cooler, Uneven Labor Market

Markets await Friday’s first on-time BLS payrolls since the shutdown, with JOLTS showing roughly 7.15 million openings.

Overview

  • ADP said private payrolls rose by 41,000 in December, below forecasts, with gains concentrated in education and health services and in leisure and hospitality.
  • White-collar and goods-producing areas weakened, including losses of 29,000 in professional and business services, 12,000 in information, and 5,000 in manufacturing.
  • Hiring was led by smaller establishments as large employers added just 2,000 positions, signaling continued caution at bigger firms.
  • Wage growth held steady for job stayers at 4.4% year over year, while job changers saw pay up 6.6%, according to ADP.
  • Separately, BLS JOLTS data showed job openings fell to about 7.146 million in November and hiring eased, reinforcing a low-hire, low-fire labor market ahead of the government’s jobs report.