US ADP private employment grew 107k in January, below expectation of 143k. By sector, goods-producing jobs rose 30k while service-providing jobs rose 77k. By establishment size, small companies added 25k jobs, medium added 61k, large added 31k.
Pay gains for job-stayers slowed from 5.4% yoy to 5.2% yoy. Pay gains for job-changers slowed to 7.2% yoy, smallest gain since May 2021.
“Progress on inflation has brightened the economic picture despite a slowdown in hiring and pay,” said Nela Richardson, chief economist, ADP. “Wages adjusted for inflation have improved over the past six months, and the economy looks like it’s headed toward a soft landing in the U.S. and globally.
