ADP: 978,000 Jobs Gained in May

The non-farm private sector gained 978,000 jobs in May, according to the ADP National Employment Report. This follows a revised April increase of 654,000 jobs.

Small businesses with fewer than 50 employees gained 333,000 jobs. Medium-sized businesses with 50-499 employees gained 338,000, while large businesses increased by 308,000 jobs.

“Private payrolls showed a marked improvement from recent months and the strongest gain since the early days of the recovery,” said Nela Richardson, chief economist, ADP. “While goods producers grew at a steady pace, it is service providers that accounted for the lion’s share of the gains, far outpacing the monthly average in the last six months. Companies of all sizes experienced an uptick in job growth, reflecting the improving nature of the pandemic and economy.”

Service-providing employment led the increase with 850,000 jobs gained, driven by the leisure & hospitality and education & health sectors, which rose by 440,000 and 139,000 jobs respectively.

Goods-producing employment rose by 128,000 jobs. The manufacturing sector gained 52,000 jobs and construction rose by 65,000 jobs. Natural resources/mining rose by 11,000 jobs.

Read the ADP report.