Labor market growth slows dramatically in August with U.S. adding just 54,000 jobs
Steven Chechette (C) is talking to a employer at the Keysource booth at the Mega JobNewsusa Southern Florida Business Fair, held on April 30, 2025 at the American Bank of Florida, Arena in Florida.
Joe Raedle | Getty Images
The US private sector recruitment has increased less than expected in August, the data shown on Thursday, the last problem in the labor market.
According to ADP transaction company data published on Thursday morning, special payrolls increased only 54,000 in August. This indicates a significant slowdown from the economists who participated in the survey by Dow Jones and a significant slowdown from the 104,000 earnings seen in the previous month.
“The year began with strong business growth, but this acceleration was struggling because of uncertainty,” he said
ADP’s chief economist, Nela Richardson in a press release.
As the potential driving forces of this decrease in growth, Richardson pointed to increasing concerns from consumers, labor difficulties and disruptions due to artificial intelligence.
According to the ADP, trade, transportation and public services were given a certain weakness in August, and the group clearly lost 17,000 roles. Training and health services were followed and 12,000 jobs decreased.
However, these losses were partially balanced with a explosion in the leisure and hospitality industry, which added 50,000 jobs per month.
The wage growth continued the same tempo in August. Remaining in their roles, 4.4% of their wages compared to the previous year, while changes in the same period of 7.1% increased.
The ADP report on Thursday, the Labor Market already contributes to a relevant picture. According to Government data published on Wednesday, business opening and workers’ turnover research has recorded one of the worst levels for business opening in July since 2020.
Now, you will pay attention to all the important work report planned on Friday morning. According to estimates by Dow Jones, the economists expect the official government report to show out of the farm payrolls added even in the previous month, even in August. Economists estimate that the unemployment rate increases from 4.2% to 4.3%.
