The private sector gained 568,000 jobs in September, payroll giant ADP reported Wednesday, in the latest sign of a slowing, but steady economic recovery from the pandemic.
Small businesses gained 63,000 jobs in September, according to the
The service-providing sector added the bulk of the new jobs, at 466,000, including 61,000 in professional and business services such as accounting and tax preparation, and 22,000 in financial activities such as banking. The goods-producing sector accounted for 102,000 of the jobs added in September, including 49,000 in manufacturing, 46,000 in construction and 7,000 in natural resources and mining. Franchises added 25,800 new jobs in September.
The latest report indicated that the recovery is continuing despite the risks of COVID-19 and the highly transmissible Delta variant, which have slowed down the hiring pace since earlier this year.
“The jobs recovery continued to press on despite the impact of the Delta variant in curtailing economic activity over the past three months,” said Nela Richardson, chief economist at ADP, during a conference call Wednesday with reporters. “In September, private sector payrolls rose by 568,000 on net, bringing the third-quarter average to 410,000. This represents a slowdown from the impressive 748,000 jobs pace in the second quarter. After the pandemic led to 20 million jobs lost in the early stages last spring, more than 14 million jobs have since been recovered, though more than 5 million lost jobs are yet to be recouped. While job gains have improved from the weak August report — and that’s weak relative to the recovery itself — initial claims for unemployment insurance, which had been steadily falling, have pushed higher in recent weeks. The good news is that many of the factors that seem to be weighing on growth like supply shortages and hiring bottlenecks will likely recede over time as health conditions continue to improve.”
