Hiring activity in the US private sector exceeded expectations last month, with employers adding 192,000 jobs in April, as reported by payroll processor ADP. This figure marked an increase from the 184,000 jobs added in March and surpassed economists' consensus estimate of 175,000 jobs.
The job growth was widespread across various industries, with all large sectors experiencing gains except for the information sector, which saw a loss of 4,000 jobs. Despite the acceleration in job growth, wage increases showed a slight moderation. Annual pay rose by 5%, a slight decrease from the previous month's 5.1% increase. However, pay bumps for job changers decreased to 9.3% from 10.1% but remained higher compared to the beginning of the year.
The ADP national employment report, which is based on anonymized and aggregated payroll data from ADP's clients, serves as an independent measure of employment trends. While the correlation between ADP's data and the official federal jobs report, scheduled for release on Friday, may vary, the ADP report is often considered a reliable indicator of overall hiring activity.
