ADP National Employment Report: Private Sector Employment Increased by 517,000 Jobs in March

Private sector employment increased by 517,000 jobs from February to March according to the March ADP National Employment Report. Broadly distributed to the public each month, free of charge, the ADP National Employment Report is produced by the ADP Research Institute® in collaboration with Moody’s Analytics. The report, which is derived from ADP’s actual payroll data, measures the change in total nonfarm private employment each month on a seasonally-adjusted basis.

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Change in Total Nonfarm Private Employment

Total U.S. Nonfarm Private Employment: 517,000

By Company Size

– Small businesses:     174,000
  • 1-19 employees     100,000
  • 20-49 employees     74,000
– Medium businesses:     188,000
  • 50-499 employees     188,000
– Large businesses:     155,000
  • 500-999 employees     49,000
  • 1,000+ employees     105,000

By Sector

– Goods-producing:     80,000
  • Natural resources/mining     -1,000
  • Construction     32,000
  • Manufacturing     49,000
– Service-providing:     437,000
  • Trade/transportation/utilities     92,000
  • Information     -7,000
  • Financial activities     9,000
  • Professional/business services     83,000
         – Professional/technical services     27,000
         – Management of companies/enterprises     4,000
         – Administrative/support services     53,000
  • Education/health services     68,000
         – Health care/social assistance     66,000
         – Education     2,000
  • Leisure/hospitality     169,000
  • Other services     22,000

* Sum of components may not equal total, due to rounding.

– Franchise Employment**
  • Franchise jobs     15,500

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“We saw marked improvement in March’s labor market data, reporting the strongest gain since September 2020,” said Nela Richardson, chief economist, ADP. “Job growth in the service sector significantly outpaced its recent monthly average, led with notable increase by the leisure and hospitality industry. This sector has the most opportunity to improve as the economy continues to gradually reopen and the vaccine is made more widely available. We are continuing to keep a close watch on the hardest hit sectors but the groundwork is being laid for a further boost in the monthly pace of hiring in the months ahead.”

The matched sample used to develop the ADP National Employment Report was derived from ADP payroll data, which represents 460,000 U.S. clients employing nearly 26 million workers in the U.S. The February total of jobs added was revised from 117,000 to 176,000.

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