ADP Employment Grows At Slowest Pace In 11 Months As Small Business Slumps

Following August's huge (4 sigma) beat, ADP reports September's payrolls rose just 135k (meeting expectations) for the weakest growth since October 2016 (presumably affected by the storms - which did not seem to negatively affect ISM).

“In September, small businesses experienced a dip in hiring,” said Ahu Yildirmaz, vice president and cohead of the ADP Research Institute. “This is in part due to Hurricane’s Harvey and Irma which significantly impacted smaller retailers.


“In addition, the continued slow down we have seen in small business hiring could be due to a lack of competitive compensation to attract skilled talent.”


Mark Zandi, chief economist of Moody’s Analytics, said, “Hurricanes Harvey and Irma hurt the job market in September. Looking through the storms the job market remains sturdy and strong.”  


The smallest businesses suffered the most with an 11k drop with service-providing jobs (in this cohort) plunging 18k (the most since 2009) even as goods-producing rose 7.7k

Full breakdown...


ADP Infographic...

     ADP National Employment Report: Private Sector Employment Increased by 135,000 Jobs in September


LawsofPhysics Wed, 10/04/2017 - 08:25 Permalink

Here we are now, several years into "full employment" and equities hitting "all time highs" every fucking day, and yet the fuckers in banking and finance still need access to free/cheap money?!?!?!?!What the fuck Mr. Yellen?

yogibear Wed, 10/04/2017 - 08:26 Permalink

Bullish++More QE and print, it's a given.Round-robin central banksters buying each other's assets.Rinse and repeat transfer of wealth from the 90% to the 10%.

FreeNewEnergy Wed, 10/04/2017 - 10:00 Permalink

While these numbers are probably bullcrap, what stands out are the 11,000 jobs shed by companies with under 20 employees.This is not at all unexpected, since the smallest businesses have the highest compliance costs on a relative basis and are also at severe competitive disadvantages. Anybody who has ever run a small business knows that the owner has to wear many hats, can't get the best employees, but still has to pay all the government-mandated taxes, fees, etc.When these small businesses fail, it is a failing of the government at every level, from local all the way up to federal. The local goons - town and county generally - harass with zoning, health, labor, permits, fees and assorted compliance issues. The state hen takes its pound of flesh in disability and worker's comp, then the fed has its way with mandatory payroll, medicare and SS deductions.It's a wonder anybody owns a business with fewer than 20 employees these days. The government is on a mission to eliminate all small business so that our great and glorious cheating corporate controllers can own the world.GDP is also a complete crock of shit. All that matters today - and, realistically, for the past 20 years or so - is how much you can hide from and otherwise evade the authorities. What happens when small businesses fail or lay ff marginal employees? Unemployment, welfare, crime, not necessarily in that order.We're fucked... except for stocks, which have to keep up appearances.

Sick of Govern… Wed, 10/04/2017 - 10:21 Permalink

Ok, small businesses are struggling, (fact since I own 3 of them), but the Russell is Up higher than ever before with it jumping almost 100 points in 12 days???????   Manipulation for sure!  Will they ever let it look natural again.  FED THAT'S INSIDER TRADING!!!!!