Private-sector employment increased by 163,000 from June to July on
a seasonally adjusted basis, according to the latest ADP National
Employment Report® released today. The ADP National Employment
Report, created by Automatic Data Processing, Inc. (ADP®), in
partnership with Macroeconomic Advisers, LLC, is derived from
actual payroll data and measures the change in total nonfarm
private employment each month. The estimated gain from May to June
was revised down slightly, from the initial estimate of 176,000 to
172,000.
U.S. Nonfarm Private Employment Highlights -- July 2012 Report:
-- Total employment: +163,000
-- Small businesses:* +73,000
-- Medium businesses:** +67,000
-- Large businesses:*** +23,000
-- Goods-producing sector: +15,000
-- Service-providing sector: +148,000
Addendum:
-- Manufacturing industry: + 6,000
* Small businesses represent payrolls with 1-49 employees
** Medium businesses represent payrolls with 50-499 employees
*** Large businesses represent payrolls with more than 499 employees
Note: All data included in the ADP National Employment Report is based on
size of payroll. In some cases, small and medium-size payrolls
belong to businesses employing more workers than indicated by the
size grouping.
According to today's ADP National Employment Report, employment
in the nonfarm private business sector rose 163,000 from June to
July on a seasonally adjusted basis. Employment in the private,
service-providing sector expanded 148,000 in July after rising a
revised 151,000 in June. Employment in the private, goods-producing
sector added 15,000 jobs in July, while manufacturing employment
rose 6,000, following a revised increase of 9,000 in June.
Construction employment rose for the second consecutive month,
adding 5,000 jobs. The financial services sector added 9,000 jobs
from June to July, marking the twelfth consecutive monthly
gain.
Carlos A. Rodriguez, president and chief executive officer of
ADP, said: "According to this month's ADP National Employment
Report, the U.S. economy added 163,000 jobs in July. This increase
marks two-and-half years of positive job growth. According to our
data, businesses across the country have restored nearly 4 million
jobs during this period with an average of 131,000 new positions a
month. Although encouraging, we'd like to see continued growth but
at more robust and consistent levels."
According to Joel Prakken, chairman of Macroeconomic Advisers,
LLC, "July's increase was the thirtieth consecutive monthly
advance, and higher than the consensus forecast for today's release
and for the official jobs number due out Friday from The Bureau of
Labor Statistics. Although recent employment gains likely have been
restrained by heightened uncertainty over the European financial
crisis and by growing concerns about domestic fiscal policy, July's
increase of 163,000 new jobs reinforces that the pace of hiring has
picked back up after slowing sharply during the Spring."
Prakken added: "This gain in private employment is strong enough
to suggest that the national unemployment rate may have declined in
July. Today's estimate from ADP, if re-enforced by a similar
reading on employment from the BLS on Friday, will alleviate
concerns that the economy has slipped into a downturn."
Employment levels among medium-sized payrolls -- those with 50
to 499 workers -- rose by 67,000, while employment on large
payrolls -- those with 500 or more workers -- increased by 23,000
jobs in July.
The matched sample used to develop the ADP National Employment
Report was derived from ADP data, which, during 2011, averaged
about 344,000 U.S. business clients and represented over 21 million
U.S. employees. This approximately represents the size of the
matched sample used this month.
Small Business Highlights -- July Report:
Due to the important contribution small businesses make to economic
growth, employment data that is specific to businesses with fewer
than 50 employees is reported in the ADP Small Business Report®
each month. The ADP Small Business Report is a subset of the ADP
National Employment Report.*
Employment on small payrolls -- those with up to 49 workers --
rose 73,000 in July.
- Total nonfarm private small business employment: 73,000 jobs
created
- Goods-producing sector gained 4,000 jobs
- Service-providing sector added 69,000 jobs
* All size data included in the ADP National Employment Report
is based on size of payroll. In some cases, small and medium-size
payrolls belong to businesses employing more workers than indicated
by the size grouping.
Additional information about small business employment,
including charts on monthly job growth and employment levels, along
with historical data, is available at
http://www.smallbusinessreport.adp.com.
To obtain additional information about the ADP National
Employment Report, including additional charts, supporting data and
the schedule of future release dates, or to subscribe to the
monthly email alerts and RSS feeds, please visit
www.ADPemploymentreport.com.
The August 2012 ADP National Employment Report will be released
at 8:15 AM ET on Thursday, September 6, 2012.
About the ADP National
Employment Report® The ADP National Employment Report®,
sponsored by ADP®, was developed and is maintained by Macroeconomic
Advisers, LLC. It is a measure of employment derived from an
anonymous subset of roughly 500,000 U.S. business clients. During
2011, this subset averaged about 344,000 U.S. business clients and
represented over 21 million U.S. employees working in all private
industrial sectors. The ADP Small Business Report is a monthly
estimate of private nonfarm employment among companies in the
United States with 1-49 employees and is a subset of the ADP
National Employment Report. The data for both reports is collected
for pay periods that can be interpolated to include the week of the
12th of each month, and processed with statistical methodologies
similar to those used by the U.S. Bureau of Labor Statistics to
compute employment from its monthly survey of establishments. Due
to this processing, this subset is modified to make it indicative
of national employment levels; therefore, the resulting employment
changes computed for the ADP National Employment Report are not
representative of changes in ADP's total base of U.S. business
clients.
For a description of the underlying data and the statistical
properties of the series, please see "ADP National Employment
Report: Development Methodology" at
http://ADPemploymentreport.com/methodology.aspx.
About ADP Automatic Data Processing, Inc.
(NASDAQ: ADP), with more than $10 billion in revenues and
approximately 600,000 clients, is one of the world's largest
providers of business outsourcing solutions. Leveraging over 60
years of experience, ADP offers a wide range of human resource,
payroll, tax and benefits administration solutions from a single
source. ADP's easy-to-use solutions for employers provide superior
value to companies of all types and sizes. ADP is also a leading
provider of integrated computing solutions to auto, truck,
motorcycle, marine, recreational vehicle, and heavy equipment
dealers throughout the world. For more information about ADP or to
contact a local ADP sales office, reach us at 1.800.225.5237 or
visit the company's website at www.ADP.com.
About Macroeconomic Advisers, LLC
Macroeconomic Advisers, LLC (MA) has been the most trusted source
for U.S. macroeconomic forecasts and commentary, monetary and
fiscal policy analysis, and econometric modeling for 25 years. MA's
clients include leading financial service firms, nonfinancial
corporations, key policymaking agencies of the U.S. government, as
well as State and Foreign Government agencies. Additional
information on Macroeconomic Advisers, LLC is available on the
company's website, www.MacroAdvisers.com.
The ADP logo, ADP, ADP National Employment Report, and ADP Small
Business Report are registered trademarks of ADP, Inc.
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Media Contacts: ADP Public Relations ADP (973)
974-7612 Public.Relations@adp.com Fleishman-Hillard for ADP
Allan Chernoff (212) 453-2053 (917) 239-7270 mobile
allan.chernoff@fleishman.com
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