Job creation in the private sector slowed in November and wages showed the smallest growth in more than two years, according to a payroll processing report from ADP reported on Wednesday.
Companies were only able to add 103,000 workers for the month, slightly below the revised 106,000 data in October and above the Dow Jones estimate of 128,000.
Along with modest job growth, there was an annual wage increase of 5.6%, which ADP said was the smallest increase since June 2021.
The trade, transportation, and utilities sectors saw an addition of 55,000 positions, while education and health services added 44,000 and other services contributed 15,000.
Service-related industries accounted for the largest job growth for the month, while goods producers saw a net loss of 14,000 due to a 15,000 decline in manufacturing. Recent job cuts in Silicon Valley and on Wall Street were also not seen in this data, as both sectors posted gains during the month.
On the other hand, companies with the number of employees between 50 and 499 people were the biggest contributors with an addition of 68,000. Small businesses contributed only 6,000.
The ADP report comes out two days ahead of the broader NFP key data. The two reports could differ, though October's private-sector employment numbers were nearly identical when the Labor Department reported growth of 99,000, just 4,000 below the ADP recount.
Including government jobs, NFP data rose by 150,000 in October and is expected to show growth of 190,000 in November, according to Dow Jones.
