Economic activity in the US nonmanufacturing expanded in May but at a slower pace than in April, according to the Institute for Supply Management’s nonmanufacturing index released today.

ISM’s nonmanufacturing index fell in May to a reading of 56.9 from April’s reading of 57.5. This represents continued growth in the nonmanufacturing sector but at a slightly slower rate. Readings above 50 indicate growth.

However, the employment portion of the index increased to a reading of 57.8 in May from April’s reading of 51.4. Fifteen industries reported increased employment, led by arts, entertainment and recreation; construction; and real estate, rental and leasing, respectively. Only the information industry reported decreased employment.

Bloomberg reported the reading fell short the median forecast of its survey of economists, which called the gauge to increase to 57.1. While a slower pace of new orders represents a pullback from a more than 10-year high reached a month earlier, the index level remains consistent with steady, yet uneven, growth.