US ADP private employment grew 497k in June, well above expectation of 250k. By industry, goods-producing jobs increased 124k while service-providing jobs rose 373k. By establishment size, small companies added 299k jobs, medium companies added 183k, large companies cut -8k.
Annual pay growth of job-stayers slowed from 6.6% yoy to 6.4% yoy. For job-changers, pay gains slowed for the 12th straight month to 11.2% yoy, slowest pace since October 2021.
“Consumer-facing service industries had a strong June, aligning to push job creation higher than expected,” said Nela Richardson, chief economist, ADP. “But wage growth continues to ebb in these same industries, and hiring likely is cresting after a late-cycle surge.”
