Economic activity in the US nonmanufacturing sector increased in May at a slower pace than April. The Institute for Supply Management’s nonmanufacturing composite index fell to a reading of 52.9 from April’s reading of 55.7.

Readings above 50 indicates expansion in the sector.

The employment portion of the index also fell in May. The index fell 3.3 percentage points to 49.7% from the April reading of 53.0 and indicates contraction after two consecutive months of growth.

Eleven industries reported increased employment in May. The construction industry reported the largest increase, followed by health care and social assistance, and agriculture, forestry, fishing and hunting.

Six industries reporting a reduction in employment in May, led by educational services, other services, and mining.