ADP published its National Employment Report for October this week, which showed nice bumps in workers and pay for the construction industry. The report revealed that, overall, private employers across the country added 113,000 jobs in October, with education and health care adding the most jobs. Annual pay overall was up 5.7 percent year over year.
“No single industry dominated hiring this month, and big post-pandemic pay increases seem to be behind us. In all, October’s numbers paint a well-rounded jobs picture. And while the labor market has slowed, it’s still enough to support strong consumer spending,” said Nela Richardson, chief economist at ADP.
The construction industry added 4,000 jobs in October and the median change in annual pay for workers increased 5.8 percent.
The ADP National Employment Report is an independent measure and high-frequency view of the private-sector labor market based on actual, anonymized payroll data of more than 25 million U.S. employees.
ADP
According to the company:
Jobs Report
Private employers added 113,000 jobs in October. Leisure and hospitality hiring led the post-pandemic job recovery. But the industry ceded its place as the top job creator last month to education and health care.
Change in U.S. Private Employment: 113,000
Change by Industry Sector
Goods-producing: 6,000
- Natural resources/mining: -1,000
- Construction: 4,000
- Manufacturing: 3,000
Service-providing: 107,000
- Trade/transportation/utilities: 35,000
- Information: 0
- Financial activities: 21,000
- Professional/business services: -10,000
- Education/health services: 45,000
- Leisure/hospitality: 17,000
- Other services: -1,000
Change by U.S. Regions
- Northeast: 21,000
-- New England: 4,000
-- Middle Atlantic: 17,000
- Midwest: -13,000
-- East North Central: -17,000
-- West North Central: 4,000
- South: 64,000
-- South Atlantic: 34,000
-- East South Central: 5,000
-- West South Central: 25,000
- West: 46,000
-- Mountain: 6,000
-- Pacific: 40,000
Change by Establishment Size
- Small establishments: 19,000
-- 1-19 employees: 21,000
-- 20-49 employees: -2,000
- Medium establishments: 78,000
-- 50-249 employees: 96,000
-- 250-499 employees: -18,000
- Large establishments: 18,000
-- 500+ employees: 18,000
Pay Insights
Pay growth slowed to two-year low in October. Job-stayers reported a 5.7 percent year-over-year pay increase in October, the slowest pace of growth since October 2021. Pay growth for job-changers was 8.4 percent, the smallest increase since July 2021.
Median Change in Annual Pay (ADP matched person sample)
- Job-Stayers: 5.7%
- Job-Changers: 8.4% Median
Change in Annual Pay for Job-Stayers by Industry Sector
- Goods-producing:
-- Natural resources/mining: 5.3%
-- Construction: 5.8%
-- Manufacturing: 5.2%
- Service-providing:
-- Trade/transportation/utilities: 5.5%
-- Information: 5.1%
-- Financial activities: 6.1%
-- Professional/business services: 5.6%
-- Education/health services: 6.3%
-- Leisure/hospitality: 6.6%
-- Other services: 5.9%
Median Change in Annual Pay for Job-Stayers by Firm Size
- Small firms:
-- 1-19 employees: 4.9%
-- 20-49 employees: 5.8%
- Medium firms:
-- 50-249 employees: 5.9%
-- 250-499 employees: 5.8%
- Large firms:
-- 500+ employees: 5.8%
