Businesses Added 208,000 Jobs in September, Better Than Expected, ADP Reports

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Businesses Added 208,000 Jobs in September, Better Than Expected, ADP Reports
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Businesses added 208,000 for the month, better than the 200,000 Dow Jones estimate and ahead of the upwardly revised 185,000 in August.

By size, companies employing 50-499 workers led with a 90,000 gain, while large firms added 60,000 and small businesses contributed 58,000.

The tight job market saw another month of sizeable pay hikes, with annual pay trending up 7.8% from a year ago, according to ADP, which compiles the report in tandem with the Stanford Digital Economy Lab. Those changing jobs saw a median change in annual pay of 15.7%, down from 16.2% in August for the biggest monthly drop in the three years ADP has been tracking the data.

ADP's report comes two days before the closely watched nonfarm payrolls report issued by the Bureau of Labor Statistics. The estimate for the Friday report is a growth of 275,000 jobs. Though ADP revised its methodology over the summer, the August total, which was revised up sharply from the originally reported 132,000, was still well shy of the BLS count of 315,000 added jobs.

Federal Reserve officials are watching the jobs numbers closely as the central bank looks to stem high inflation.

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