US private employers added 54k jobs in August, short of expectations for 72k, according to ADP. Goods-producing industries created 13k positions, while services added 42k. Hiring by firm size showed modest gains across the board, with small companies up 12k, medium-sized firms up 25k, and large firms up 18k.
Wage dynamics were mixed. Year-over-year pay growth for job-stayers held steady at 4.4%, while job-changers saw wages rise 7.1%, slightly faster than July’s 7.0%.
ADP’s chief economist Nela Richardson said hiring momentum has been “whipsawed by uncertainty,” citing factors such as labor shortages, skittish consumer demand, and potential disruption from artificial intelligence adoption. The data add to concerns that job creation is losing momentum ahead of Friday’s official nonfarm payrolls report.
