America’s private sector adds 135K jobs in September

Mortgage & Real Estate

The National Employment
Report indicated that private sector employment increased by
135,000 jobs from August to September, rising mostly in the
service-providing sector.

Once again, jobs in the good-producing sector, including
construction and manufacturing, experienced a monthly increase. However,
mining, which fell last month, continued its decline as employment in the
industry decreased, according to ADP Research Institute and Moody’s
Analytics.

“The job market has shown
signs of a slowdown,” said Ahu Yildirmaz, vice president and co-head of the ADP
Research Institute. “The average monthly job growth for the past three months
is 145,000, down from 214,000 for the same time period last year.”

The chart below
demonstrates the rate of increase since 2013:

The report reveals that the number of jobs added in August
was revised down from 195,000 to 157,000.

“Businesses have turned
more cautious in their hiring,” said Mark Zandi, chief economist of Moody’s
Analytics. “Small businesses have become especially hesitant. If businesses
pull back any further, unemployment will begin to rise.”

Below is a breakdown of job
segments that saw changes in employment between August and September:

Natural resources and
mining: Decreased 3,000 jobs

Construction: Increased 9,000 jobs

Manufacturing: Increased 2,000 jobs

The service-providing sector increased by 127,000 jobs,
including:

Information: increased 5,000 jobs

Financial activities: Increased 8,000 jobs

Professional and business
services: Increased 20,000 jobs

Education and health
services: Increased 42,000 jobs

Leisure and hospitality: Increased 18,000 jobs

Other services: Increased 5,000 jobs

NOTE: This report is a monthly measure of the change in total U.S. non-farm
private employment derived from actual, anonymous payroll data of client
companies served by the company. The data is collected and processed with
statistical methodologies similar to those used by the U.S. Bureau of Labor
Statistics.