ADP National Employment Report: Private Sector Employment Increased by 166,000 Jobs in September

ADP National Employment Report: Private Sector Employment Increased by 166,000 Jobs in September

ROSELAND, N.J. – October 2, 2013 Private sector employment increased by 166,000 jobs from August to September, according to the September ADP National Employment Report®. Broadly distributed to the public each month, free of charge, the ADP National Employment Report is produced by ADP®, a leading global provider of Human Capital Management (HCM) solutions, in collaboration with Moody’s Analytics. The report, which is derived from ADP’s actual payroll data, measures the change in total nonfarm private employment each month on a seasonally-adjusted basis. August’s job gain was revised down from 176,000 to 159,000.

September 2013 Report Highlights*

View the ADP National Employment Report Infograph at www.adpemploymentreport.com.

Total U.S. Nonfarm Private Employment:
 166,000



 • By Company Size 
 
   • Small businesses: 
74,000
    · 1-19 employees 
46,000
    · 20-49 employees 
28,000



   • Medium businesses: 
28,000
    · 50-499 employees  
28,000



   • Large businesses: 
64,000
    · 500-999 employees 
5,000
    · 1,000+ employees 
59,000
 
 
   • By Sector
 
    • Goods producing
19,000
    • Service providing   
147,000
 
 
   • Industry Snapshot
 
    • Construction 
16,000
    • Manufacturing  
1,000
    • Trade/transportation/utilities 
54,000
    • Financial activities
-4,000
    • Professional/business services
27,000

* Sum of components may not equal total, due to rounding.

Goods-producing employment rose by 19,000 jobs in September, a slight increase over its August growth rate. Construction payrolls added 16,000 jobs, while manufacturing payrolls increased by 1,000.

Service-providing industries added 147,000 jobs in September, down from 152,000 in August. Among the service industries reported by the ADP National Employment Report, trade/transportation/utilities added the most jobs with 54,000 over the month. Professional/business services employment rose by 27,000, while financial activities shed 4,000 jobs.

"During the month of September, the U.S. private sector added a total of 166,000 jobs,” said Carlos A. Rodriguez, president and chief executive officer of ADP. "As in previous months, most of the job gains occurred in the service-providing sector."

Mark Zandi, chief economist of Moody’s Analytics, said, "The job market appears to have softened in recent months. Fiscal austerity has begun to take a toll on job creation. The run-up in interest rates may also be doing some damage to jobs in the financial services industry. While job growth has slowed, there remains a general resilience in the market. Job creation continues to be consistent with a slowly declining unemployment rate.”

Chart 1: Change in Total Nonfarm Private Employment
Chart 1: Change in Total Nonfarm Private Employment

Chart 2: Historical Trend - Change in Total Nonfarm Private EmploymentChart 2: Historical Trend - Change in Total Nonfarm Private Employment

Chart 3: Change in Nonfarm Private Employment by Selected IndustryChart 3: Change in Nonfarm Private Employment by Selected Industry

Chart 4: Change in Nonfarm Private Employment by Company SizeChart 4: Change in Nonfarm Private Employment by Company Size

Businesses with 49 or fewer employees added 74,000 jobs in September, while employment levels among medium-sized companies with 50-499 employees rose by 28,000 and employment at large companies – those with 500 or more employees – increased by 64,000.

The matched sample used to develop the ADP National Employment Report was derived from ADP payroll data, which represents 416,000 U.S. clients employing nearly 24 million workers in the U.S.

ADP Small Business Report®:

Due to the important contribution that small businesses make to economic growth, employment data that are specific to businesses with 49 or fewer employees is reported each month in the ADP Small Business Report®, a subset of the ADP National Employment Report.

September 2013 Small Business Report Highlights*

Total Small Business Employment:   74,000
 • By size: 
 
    · 1-19 employees
46,000
    · 20-49 employees
28,000
 
 
   • By sector for 1 - 49 employees:
 
    · Goods producing
6,000
    · Service providing 
69,000



   • By sector for 1 - 19 employees:
 
    · Goods producing
3,000
    · Service providing 
43,000
 
 
   • By sector for 20 - 49 employees:
 
    · Goods producing
2,000
    · Service providing 
26,000

* Sum of components may not equal total, due to rounding.

Additional information about small business employment, including charts on monthly job growth and employment levels along with historical data, is available at www.adpemploymentreport.com.

To obtain additional information about the ADP National Employment Report, including additional charts, supporting data and the schedule of future release dates, or to subscribe to the monthly email alerts and RSS feeds, please visit www.adpemploymentreport.com.

The October 2013 ADP National Employment Report will be released at 8:15 a.m. ET on October 30, 2013.

About the ADP National Employment Report®
The ADP National Employment Report® is a monthly measure of the change in total U.S. nonfarm private employment derived from actual, anonymous payroll data of client companies served by ADP®, a leading provider of human capital management solutions. The report, which measures nearly 24 million U.S. workers, is produced by the ADP Research Institute®, a specialized group within the company that provides insights around employment trends and workforce strategy, in collaboration with Moody’s Analytics, Inc.

Each month, ADP issues the ADP National Employment Report as part of the company’s commitment to adding deeper insights into the U.S. labor market and providing businesses, governments and others with a source of credible and valuable information. The ADP National Employment Report is broadly distributed to the public each month, free of charge.

The ADP Small Business Report is a monthly estimate of private nonfarm employment among companies in the U.S. with 1-49 employees and is a subset of the ADP National Employment Report. The data for both reports is collected for pay periods that can be interpolated to include the week of the 12th of each month, and processed with statistical methodologies similar to those used by the U.S. Bureau of Labor Statistics to compute employment from its monthly survey of establishments. Due to this processing, this subset is modified to make it indicative of national employment levels; therefore, the resulting employment changes computed for the ADP National Employment Report are not representative of changes in ADP’s total base of U.S. business clients.

For a description of the underlying data and the statistical model used to create this report, please see “ADP National Employment Report: Development Methodology” at www.adpemploymentreport.com/docs/ADP-NER-Methodology-Full-Detail.pdf.

About Moody’s Analytics
Moody’s Analytics helps capital markets and risk management professionals worldwide respond to an evolving marketplace with confidence. The company offers unique tools and best practices for measuring and managing risk through expertise and experience in credit analysis, economic research and financial risk management. By providing leading-edge software, advisory services and research, including proprietary analyses from Moody’s Investors Service, Moody’s Analytics integrates and customizes its offerings to address specific business challenges. Moody's Analytics is a subsidiary of Moody's Corporation (NYSE: MCO), which reported revenue of $2.7 billion in 2012, employs approximately 6,800 people worldwide and has a presence in 28 countries. Further information is available at www.moodysanalytics.com.

About ADP
With more than $11 billion in revenues and more than 60 years of experience, ADP® (NASDAQ: ADP) and its 60,000 employees serve approximately 620,000 clients in more than 125 countries. As one of the world's largest providers of business outsourcing and Human Capital Management solutions, ADP offers a wide range of human resource, payroll, talent management, tax and benefits administration solutions from a single source, and helps clients comply with regulatory and legislative changes, such as the Affordable Care Act (ACA). ADP's easy-to-use solutions for employers provide superior value to companies of all types and sizes. ADP is also a leading provider of integrated computing solutions to auto, truck, motorcycle, marine, recreational vehicle, and heavy equipment dealers throughout the world. For more information about ADP or to contact a local ADP sales office, reach us at 1.800.225.5237 or visit the company's Web site at www.adp.com.

The ADP logo, ADP, the ADP National Employment Report, the ADP Small Business Report and the ADP Research Institute are registered trademarks of ADP, Inc. The ADP Regional Employment Report and ADP National Franchise Report are service marks of ADP, Inc. All other marks are the property of their respective owners. Copyright © 2013 ADP, Inc.

Media Contacts:
Dick Wolfe
ADP
(973) 974-7034
dick.wolfe@adp.com

Kate Rambo
Weber Shandwick for ADP
(617) 520-7048
krambo@webershandwick.com