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US job market healthy despite hit to service-providing sector by weather, ADP report says

November 01, 2017

US private-sector employment rose by 235,000 jobs in October from September, according to the ADP National Employment Report. The report also noted the increase in September was revised downward by 25,000 jobs to a total increase of 110,000.

“The job market remains healthy and hiring bounced back with one of the best performances we’ve seen all year,” said Ahu Yildirmaz, VP and co-head of the ADP Research Institute. “Although the service-providing sector was hard hit last month due to the weather, we saw significant growth in professional services, especially in the higher paid professional technical jobs.”

The number of goods-producing jobs rose by 85,000. In addition, service-providing jobs rose by 150,000 despite a decline of 50,000 in “trade/transportation/utilities” jobs and a decline of 27,000 information jobs.

Large businesses added 90,000 jobs in October; small and midsize businesses added 79,000 and 66,000 jobs respectively.

“The job market rebounded strongly from the hit it took from Hurricanes Harvey and Irma,” said Mark Zandi, chief economist of Moody’s Analytics. “Resurgence in construction jobs shows the rebuilding is already in full swing. Looking through the hurricane-created volatility, job growth is robust.”