The private sector created 63,000 jobs in February

An ADP report showed an acceleration in hiring compared to January, although the growth was concentrated in a few sectors.

Negocios Now Editorial Staff

Private sector companies in the United States added 63,000 jobs in February, according to payroll processing firm ADP. This figure exceeded economists’ forecasts, which had anticipated an increase of around 50,000 jobs.

At the same time, the January figure was revised downward: initially reported as 22,000 jobs created, the updated figure shows that the actual increase was only 11,000.

According to Nela Richardson, chief economist at ADP, there has been a rebound in hiring and wage increases remain strong, especially for those staying in their current jobs.

However, she cautioned that hiring is concentrated in a few sectors, meaning that changing jobs no longer offers the same salary advantage as before. In fact, the wage premium for switching employers fell in February to its lowest level on record.

Sectors that created the most jobs

The education and health services sector led job creation with 58,000 new positions. Other sectors that also saw growth were:

• Construction: +19,000 jobs
• Information: +11,000
• Other services: +6,000
• Financial activities: +2,000
• Natural resources and mining: +2,000
• Leisure and hospitality: +1,000

Sectors with job losses

On the other hand, some sectors experienced job cuts:

• Professional and business services: -30,000 jobs
• Manufacturing: -5,000
• Trade, transportation, and utilities: -1,000

Company size

Large companies, with 500 or more employees, added 10,000 jobs. Medium-sized companies, with between 50 and 499 employees, lost 7,000 jobs. In contrast, small businesses (fewer than 50 employees) were the biggest employers, adding 60,000 new jobs.

Wage Trends

Wage growth in February remained almost unchanged compared to the previous month. Those who kept their jobs saw a 4.5% annual salary increase. Those who changed jobs saw increases of 6.3%, slightly below the 6.4% recorded in January.

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