In June, private sector employment experienced a notable increase, with 150,000 jobs being added, according to the June ADP® National Employment Report™. This report, produced by the ADP Research Institute® in collaboration with the Stanford Digital Economy Lab, offers an independent and high-frequency view of the private-sector labor market based on anonymized payroll data from over 25 million U.S. employees.

The report provides valuable insights into the current state of the private-sector labor market, including changes in total private employment and weekly job data. By utilizing continuously updated anonymized and aggregated payroll data from ADP, the report offers a near real-time measure of U.S. employment, providing a comprehensive understanding of the labor market.

Despite the solid job growth, Nela Richardson, chief economist at ADP, mentioned that the growth was not broad-based, noting that the rebound in hiring within the leisure and hospitality sector played a significant role in driving job growth for the month of June.

Additionally, the report highlighted a year-over-year pay increase of 4.9 percent, indicating a growth in earnings for employees. However, this growth rate marks the slowest pace of growth since August 2021. Pay gains for job-changers also saw a slowdown, reaching 7.7 percent.

The report also presented median changes in annual pay for job-stayers based on industry sector and firm size, providing valuable insights into different segments of the labor market.

The ADP National Employment Report serves as a crucial resource for businesses, governments, and the public, offering credible and valuable information to understand the changes and trends within the U.S. labor market. By providing deeper insights into private employment and pay data, the report aims to contribute to a better understanding of the world of work.

The next ADP National Employment Report for July 2024 is scheduled to be released on July 31, 2024, at 8:15 a.m. ET. The report, along with interactive charts, methodology, and release dates, can be accessed on the ADP Employment Report website for those interested in subscribing to monthly email alerts or accessing additional information.

The ADP Research Institute focuses on delivering data-driven insights about the world of work, utilizing reliable economic indicators derived from their findings. With a commitment to improving the productivity and well-being of the workforce, the ADP Research Institute aims to provide actionable insights to benefit the economy at large.

As the private sector continues to show signs of growth, this latest employment report underlines the importance of monitoring job market trends and understanding the factors influencing pay growth in various industries.