ADP Payrolls Add 238K Jobs In December On Construction Surge, Highest Print Since November 2012
Unless ADP is forced to revise its December print following the BLS report on Friday (which in keeping with the baffle with BS tradition should be a major disappointment), the Fed will have no choice but to taper by another $10 billion at the next opportunity, because moments ago ADP, which for all intents and purposes is merely noise until it has revised its data to comply with Nonfarm Payroll reports, announced that in December, some 238K jobs were added in the US, well above the 200K expected, and the highest monthly print since November 2012.
The ful breakdown by company size, sector and industry:
The primary driver for the above expectation surge were construction jobs, which added 48K in December, also the highest monthly print in over a year, while manufacturing jobs rose less than previously, adding 19K jobs in December. As ADP reports, over the course of 2013, goods-producers added 286,000 jobs. Nearly 75 percent of these gains came from construction as the housing recovery accelerated throughout 2013.
Service-providing industries added 170,000 jobs in December, down slightly from an upwardly revised November figure of 182,000. The ADP National Employment Report indicates that professional/ business services contributed the most to growth in service-providing industries, adding 53,000 jobs. This was the largest gain in the industry in a year. Expansion in trade/transportation/utilities slowed slightly, adding 47,000 jobs in December. Private payrolls increased by nearly 1.9 million jobs in the service-providing industries in 2013. The bulk of this increase was split evenly between transportation/trade/utilities and professional/business services. Finance brought up the rear gaining just 59,000 in the last twelve months
"The U.S. private sector added 238,000 jobs in December, surpassing November as the strongest month for job growth in 2013,” said Carlos Rodriguez, president and chief executive officer of ADP. “It’s encouraging news that hopefully bodes well for 2014."
Mark Zandi, chief economist of Moody’s Analytics, said, "The job market ended 2013 on a high note. Job growth meaningfully accelerated and is now over 200,000 per month. Job gains are broad-based across industries, most notably in construction and manufacturing. It appears that businesses are growing more confident and increasing their hiring.”
Some other pretty charts from the social-network friendly ADP:
Historical Trend - Change in Total Nonfarm Private Employment (in thousands)
Total Nonfarm Private Employment by Company Size (in thousands)
Finally, the best part about every monthly ADP report: the prepapred infographic - especially for Economist PhDs.
- advertisements -