US Private Sector Cuts Most Jobs Since 2023: ADP

Private businesses in the US added 22K jobs in January 2026, following a downwardly revised 37K rise in December and below forecasts of a 48K rise. In a lackluster month for hiring, health care was a standout, adding 74K jobs. Financial activities added 14K positions while construction rose by 9K and both the trade, transportation and utilities and the leisure and hospitality industries contributed 4K. On the other hand. Professional and business services shed 57K jobs, and manufacturing was down 8K, which has lost jobs every month since March 2024. Companies employing between 50 and 249 workers added 37K jobs, with small firms flat and large employers down 18K. "Job creation took a step back in 2025, with private employers adding 398K jobs, down from 771K in 2024. While we've seen a continuous and dramatic slowdown in job creation for the past three years, wage growth has remained stable", according to Dr. Nela Richardson Chief Economist, ADP

Private sector employment in the US increased by 41K jobs in December 2025, following a revised 29K loss in November and slightly less than forecasts of a 47K gain. December brought a rebound in hiring, led by education and health services (39K), and leisure and hospitality (24K). Other job gains were also seen in trade/transportation/utilities (11K), financial activities (6K), natural resources/mining (1K) and construction (1K). In contrast, job cuts occured in professional/business services (-29K), information (-12K) and manufacturing (-5K). Small establishments added 9K jobs and recovered from November job losses. Also, medium companies added 34K jobs and large ones only 2K. Meanwhile, year-over-year pay for job-stayers rose 4.4%, the same as in November. For job-changers, the pace of pay growth accelerated to 6.6% from 6.3%.

Private businesses in the US cut 32K jobs in November 2025, following an upwardly revised 47K gain in October, and compared to forecasts of a 10K rise. It is the biggest decline in payrolls since March 2023, led by a 120K drop at small establishments. On the other hand, medium companies added 51K jobs and large created 39K. Among sectors, declines were seen in manufacturing (-18K), professional/business services (-26K), information (-20K), construction (-9K) and financial activities (-9K). In contrast, job gains occurred in education/health services (33K), leisure/ hospitality (13K), natural resources/mining (8K) and trade, transportation and utilities (1K). "Hiring has been choppy of late as employers weather cautious consumers and an uncertain macroeconomic environment", according to Dr. Nela Richardson, ADP. Meanwhile, annual pay for job-stayers rose 4.4% (vs 4.5% in October). For job-changers, pay was up 6.3% (vs 6.7%).