Research >> Economics
ADP National Employment Report decreased 23,000
|
According to today’s ADP National Employment Report®, private sector employment decreased by 23,000 from February to March on a seasonally adjusted basis. 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.
American businesses are on the cusp of recovery yet this report shows that they remain hesitant to increase their payrolls. The federal HIRE Act offers businesses straightforward, immediate incentives that are available for each job they create. The HIRE Act and similar incentives are necessary to expand payrolls and reverse the trend in private sector employment.
The March employment decline was the smallest since employment began falling in February of 2008. Yet, the lack of improvement in employment from February to March is consistent with the pause in the decline of initial unemployment claims that occurred during the winter. Since employment as measured by the ADP Report was not restrained in February by the effects of inclement weather, today’s figure does not incorporate a weather-related rebound that could be present in this month’s BLS data. In addition, today’s figure does not include any federal hiring in March for the 2010 Census. For both these reasons, it is reasonable to expect that Friday’s employment figure from the BLS will be stronger than today’s estimate in the ADP National Employment Report.
March’s ADP Report estimates nonfarm private employment in the service-providing sector rose by 28,000, the second consecutive monthly increase and the highest job growth since March of 2008. However, this employment growth was not enough to offset continued losses in both the manufacturing and construction sectors. Employment in the goods-producing sector declined 51,000 during March, while manufacturing employment fell 9,000.
Large businesses, defined as those with 500 or more workers, saw employment decline by 7,000 while small-size businesses with fewer than 50 workers, declined 12,000. Employment among medium-size businesses, defined as those with between 50 and 499 workers, declined by 4,000.
Posted: March 31, 2010 Wednesday 08:15 AM