Private-sector employment grew by more than 175,000 jobs in May, according to Roseland-based ADP.
The payroll and human resources company said in its monthly ADP National Employment Report that the number of jobs grew by 178,000 positions from April to May.
“The hot job market has cooled slightly as the labor market continues to tighten,” said Ahu Yildirmaz, vice president and co-head of the ADP Research Institute. “Healthcare and professional services remain a model of consistency and continue to serve as the main drivers of growth in the services sector and the broader labor market as well.”
Midsized companies of 50 to 499 workers led the way, adding 84,000 positions. Large firms of 500 workers or more added 56,000 jobs, while small businesses of under 50 workers added 38,000 positions.
Mark Zandi, chief economist of Moody’s Analytics, said, “Job growth is strong, but slowing, as businesses are unable to fill a record number of open positions. Wage growth is accelerating in response, most notably for young, new entrants and those changing jobs. Finding workers is increasingly becoming businesses number one problem.”
Among the Top 10 sectors surveyed by ADP, those in service-providing industries dominated, adding 144,000 jobs compared with 64,000 in the goods-producing sector.
Under the service sector, professional and business services led the way, adding 61,000 jobs, while education and health services added 35,000 and leisure and hospitality added 33,000.
Under the goods sector, construction jobs led the way, adding 39,000 new positions, while manufacturing added 14,000 jobs and natural resources and mining added 11,000 new positions.
The only sector to lose workers was trade, transportation and utilities, down 23,000 jobs for the month.
