Job creation in August remained consistent with the pace of job creation before the pandemic, as the nation’s employment level rose by 177,000 jobs, according to the monthly ADP National Employment Report released Wednesday.
“After two years of exceptional gains tied to the recovery, we’re moving toward more sustainable growth in pay and employment as the economic effects of the pandemic recede,” Nela Richardson, chief economist with ADP, said.
Job growth slowed notably last month, driven heavily by leisure and hospitality. Job creation by hotels, restaurants and other employers in the sector fell to 30,000 in August after months of strong hiring. Other sectors that experienced growth were trade/transportation/utilities, adding 45,000 jobs.
Job stayers saw a year-over-year pay increase of 5.9%, the slowest growth since October 2021. For job changers, pay growth also decelerated, to 9.5%.
Looking at where else jobs were added, the information sector added 5,000 positions; professional/business services, 15,000 people; education/health services, 52,000 jobs; and other services, 7,000 spots.
In terms of company size, hiring was strong across the large and medium-sized establishments — adding 83,000 and 79,000 spots, respectively. Small establishments gained 18,000 jobs.