Daily News

View All News

Economy: ADP report says US added 205,000 jobs

February 03, 2016

US private sector employment rose by 205,000 jobs in January from December, according to the ADP national employment report produced by Automatic Data Processing Inc. (NASD: ADP) in collaboration with Moody’s Analytics. January’s jobs gain is a decrease from December’s 267,000 additions, which was revised upward from 257,000.

“Job growth remains strong despite the turmoil in the global economy and financial markets,” said Mark Zandi, chief economist of Moody’s Analytics. “Manufacturers and energy companies are reducing payrolls, but job gains across all other industries remain robust. The US economy remains on track to return to full employment by mid-year.”

The jobs gain exceeded the highest projection in a Bloomberg survey of economists. The median forecast in the Bloomberg survey called for a 195,000 increase, with estimates ranging from 60,000 to 295,000.

Large businesses added 44,000 jobs in January. Businesses with more than 1,000 employees added 30,000 jobs, while businesses with 500 to 999 employees added 15,000 jobs.

Small businesses added 79,000 jobs in January and midsize businesses added 82,000 jobs, according to the report.

The service-providing sector added 192,000 jobs. The goods-producing sector gained 13,000 jobs in January.

In other economic news today:

  • US online job ads rose by 13,500 in January to approximately 5.50 million, according to The Conference Board’s report on online job ads.
  • Salt Lake City had the lowest unemployment rate in December, 2.8%, among US metropolitan areas with populations of 1 million or more, the US Bureau of Labor Statistics reported. Las Vegas-Henderson-Paradise, Nev., and Memphis, Tenn.-Miss.-Ark., metro areas had the highest rates among the large areas at 6.2% and 6.1% respectively. Ames, Iowa, posted the lowest jobless rate in December among metropolitan areas of all sizes at 2.2%; El Centro, Calif., at 19.6% and Yuma, Ariz., at 18.0% had the highest unemployment rates.
  • Economic activity in the US nonmanufacturing sector increased in January but at a slower pace than December. The Institute for Supply Management’s nonmanufacturing composite index fell to a reading of 53.5 from December’s reading of 55.8. A reading above 50 indicates expansion in the sector. The employment portion of the index fell to a reading of 52.1 in January from December’s reading of 56.3.