US private payrolls rise by 99,000 in August, smallest since 2021

ISTANBUL

US private payrolls rose by 99,000 in August, much less than market estimates, according to a report released Thursday by a research institute.

While the figure marked the smallest gain since January 2021, it came in much less than market expectations of 144,000.

The payrolls figure for July was revised down to a gain of 111,000, from an increase of 122,000, according to a report released by ADP Research Institute.

The report said the US labor market continued to cool in August, while job creation among private employers slowed for the fifth straight month and wage growth remained stable.

"The job market's downward drift brought us to slower-than-normal hiring after two years of outsized growth," Nela Richardson, the ADP chief economist, said in a statement.

"The next indicator to watch is wage growth, which is stabilizing after a dramatic post-pandemic slowdown," she added.

Among businesses, small businesses lost 9,000 jobs, while mid-sized and large enterprises experienced gains of approximately 68,000 and 42,000 jobs, respectively.

Education and health services posted the highest gain by adding 29,000 jobs, followed by the construction industry with an increase of 27,000.

These were followed by financial activities, which added 18,000 jobs, trade, transportation, and utilities with 14,000 jobs, and leisure and hospitality 11,000 jobs.

While natural resources and mining industry added 8,000 jobs, other services saw total job additions of 20,000, according to the report.

Professional and business services, on the other hand, posted the highest job losses with 16,000.

That sector was followed by manufacturing industry that saw job losses of 8,000 and information sector that lost 4,000 jobs.