ADP report finds strong job growth in June, led by leisure and hospitality industry

Private-sector employment grew by nearly 700,000 jobs in June, according to the latest report from payroll and human resources firm ADP.

The Roseland-based firm said in its monthly ADP National Employment Report that total U.S. nonfarm private employment grew by 692,000 jobs for the month, continuing recent solid gains.

“The labor market recovery remains robust, with June closing out a strong second quarter of jobs growth,” Nela Richardson, ADP’s chief economist, said in a prepared statement. “While payrolls are still nearly 7 million short of pre-COVID-19 levels, job gains have totaled about 3 million since the beginning of 2021.”

Growth was similar across all sizes of businesses, with large companies of 500-plus employees adding 240,000 jobs, while medium businesses of 50-499 workers added 236,000 jobs and small businesses of less than 50 employees adding 215,000 jobs.

The service-providing sector added 624,000 jobs for the month, while the goods-producing sector added 68,000.

Among industries, leisure and hospitality led the way heading into summer, adding 332,000 jobs. Education and health services added 123,000, while construction led the goods-producing industries with a gain of 47,000 positions. Only the information industry lost jobs, at a -4,000 clip.

“Service providers, the hardest-hit sector, continue to do the heavy lifting, with leisure and hospitality posting the strongest gain as businesses begin to reopen to full capacity across the country,” Richardson said.