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ADP Employment survey shows 177,000 jobs added in June

Trade, transport, healthcare and education companies are leading the hiring boom

Construction helmet on American flag
Companies with more than 50 employees are hiring the most workers

Job growth in the US failed to grow as quickly as expected in June as US businesses found it difficult to hire qualified workers, according to a new survey out today.

ADP, the payroll processing group, and Moody's Analytics reported today that US businesses added 177,000 workers in June, which fell short of analysts’ expectations of 190,000 jobs being added.

"Businesses’ number one problem is finding qualified workers,” said Mark Zandi, chief economist of Moody’s Analytics. “At the current pace of job growth, if sustained, this problem is set to get much worse. These labor shortages will only intensify across all industries and company sizes."

Companies in the trade, transportation, health care and education sectors, with more than 50 employees, led the charge in hiring last month.

Medium-sized businesses, which employ 50 to 499 people, tacked on 80,000 new jobs last month while large businesses, which employ 500 to 999 employees, added 69,000 jobs.

Service-providing companies added 148,000 jobs, led by gains in the trade, education, health care and leisure fields.

The release of the ADP’s report comes a day before the US government’s much-scrutinized jobs report on Friday.  Economists are forecasting that the US Labor Department will announce as many as 195,000 new jobs were created across the private and public sectors.

The ADP’s monthly National Employment report is based on ADP payroll data from its 411,000 US clients who employ nearly 24mln workers. There is frequently a disparity between the government’s official jobs report and the ADP survey.

In May,  the ADP survey for the month said there were 189,000 new hires.

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