ADP® Reports Increased Private Sector Employment and Compensation Gains in November

According to the ADP® National Employment Report™ released on Wednesday (12-06-23), nonfarm private sector employment increased by 103,000 jobs in November, and annual pay was up 5.6% year-over-year.

The ADP National Employment Report is produced by the ADP Research Institute® in collaboration with Stanford Digital Economy Lab (“Stanford Lab”). The ADP National Employment Report is an independent measure and high-frequency view of the private sector labor market based on actual, anonymized payroll data of more than 25 million US employees. The report details the current month’s total private employment change and weekly job data from the previous month. Because the underlying ADP payroll databases are continuously updated, the report provides a near real-time measure of US employment. This measure reflects the number of employees on ADP client payrolls (Payroll Employment) to provide a richer understanding of the labor market. ADP’s pay measure uniquely captures the earning of a cohort of almost 10 million employes over a 12-month period.

Adding additional background and her analysis to the November report, Nela Richardson, ADP’s chief economist, said:

“Restaurants and hotels were the biggest job creators during the post-pandemic recovery. But that boost is behind us, and the return to trend in leisure and hospitality suggests the economy as a whole will see more moderate hiring and wage growth in 2024.”