SOURCE: Automatic Data Processing, Inc.

Automatic Data Processing, Inc.

November 30, 2011 08:15 ET

U.S. Private-Sector Employment Increased by 206,000 Jobs in November, According to ADP National Employment Report

ROSELAND, NJ--(Marketwire - Nov 30, 2011) - Private-sector employment increased by 206,000 from October to November on a seasonally adjusted basis, according to the latest ADP National Employment Report® released today. The ADP National Employment Report, created by Automatic Data Processing, Inc. (ADP®), in partnership with Macroeconomic Advisers, LLC, is derived from actual payroll data and measures the change in total nonfarm private employment each month. The estimated gain in employment from September to October was revised up to 130,000 from the initially reported 110,000.

U.S. Nonfarm Private Employment Highlights -- November 2011 Report:

Total employment: +206,000
Small businesses:* +110,000
Medium businesses:** +84,000
Large businesses:*** +12,000
Goods-producing sector: + 28,000
Service-providing sector: +178,000
Addendum:
Manufacturing industry: +7,000
* Small businesses represent payrolls with 1-49 employees
** Medium businesses represent payrolls with 50-499 employees
*** Large businesses represent payrolls with more than 499 employees
Note: All data included in the ADP National Employment Report is based on size of payroll. In some cases, small and medium-size payrolls belong to businesses employing more workers than indicated by the size grouping.

According to today's ADP National Employment Report, employment in the nonfarm private business sector rose 206,000 from October to November on a seasonally adjusted basis. Employment in the private, service-providing sector increased 178,000 in November, after rising 130,000 in October. Employment in the private, goods-producing sector rose 28,000 in November. Manufacturing employment increased 7,000, offsetting the previous month's decline, while construction employment grew 16,000.

"This month's jobs figures show positive growth in all major sectors of the economy and are in line with the recent drop in the national unemployment rate and weekly jobless claims," said Carlos Rodriguez, President and CEO of ADP. "Despite fiscal uncertainties here and abroad, owners of small- and medium-sized businesses found ways to grow and hire in November. As in previous months, service providers led the way in job creation."

According to Joel Prakken, Chairman of Macroeconomic Advisers, LLC, "November's advance was the largest monthly gain since last December and nearly twice the average monthly gain since May when employment decelerated sharply. Today's report, notably above the consensus forecast, suggests that employment, which decelerated during the spring, accelerated in November. A firming of employment was evident in the major sectors of the economy tracked in The ADP National Employment Report, and across payrolls of most sizes."

Prakken continued: "November's increase in employment normally would be associated with a decline in the unemployment rate. An acceleration of employment is consistent with data showing that GDP growth, which slowed sharply around the turn of the year, is gradually recovering."

"Employment on medium payrolls -- those with 50 to 499 workers -- rose 84,000 in November. Employment on large payrolls -- those with 500 or more workers -- increased 12,000 during that same period," Prakken noted.

The matched sample used to develop the ADP National Employment Report was derived from ADP data, which, during 2010, averaged about 337,000 U.S. business clients and represented over 21 million U.S. employees. This approximately represents the size of the matched sample used this month.

Small Business Highlights -- November Report:
Due to the important contribution small businesses make to economic growth, employment data that is specific to businesses with fewer than 50 employees is reported in the ADP Small Business Report® each month. The ADP Small Business Report is a subset of the ADP National Employment Report.*

  • Total nonfarm private small business employment: 110,000 jobs created
    • Goods-producing sector: 15,000 small business jobs created
    • Service-providing sector: 95,000 small business jobs created

*All size data included in the ADP National Employment Report is based on size of payroll. In some cases, small and medium-size payrolls belong to businesses employing more workers than indicated by the size grouping.

Prakken added: "Employment on small payrolls -- those with up to 49 workers -- rose 110,000 in November, up from the 67,000 jobs created among small businesses last month."

Additional information about small business employment, including charts on monthly job growth and employment levels, along with historical data, is available at http://www.smallbusinessreport.adp.com.

To obtain additional information about the ADP National Employment Report, including additional charts, supporting data and the schedule of future release dates, or to subscribe to the monthly email alerts and RSS feeds, please visit www.ADPemploymentreport.com. The December 2011 ADP National Employment Report will be released January 5, 2012, at 8:15 AM ET.

About the ADP National Employment Report®
The ADP National Employment Report®, sponsored by ADP®, was developed and is maintained by Macroeconomic Advisers, LLC. It is a measure of employment derived from an anonymous subset of roughly 500,000 U.S. business clients. During 2010, this subset averaged about 337,000 U.S. business clients and represented over 21 million U.S. employees working in all private industrial sectors. The ADP Small Business Report is a monthly estimate of private nonfarm employment among companies in the United States with 1-49 employees and is a subset of the ADP National Employment Report. The data for both reports is collected for pay periods that can be interpolated to include the week of the 12th of each month, and processed with statistical methodologies similar to those used by the U.S. Bureau of Labor Statistics to compute employment from its monthly survey of establishments. Due to this processing, this subset is modified to make it indicative of national employment levels; therefore, the resulting employment changes computed for the ADP National Employment Report are not representative of changes in ADP's total base of U.S. business clients.

For a description of the underlying data and the statistical properties of the series, please see "ADP National Employment Report: Development Methodology" at http://ADPemploymentreport.com/methodology.aspx.

About ADP
Automatic Data Processing, Inc. (NASDAQ: ADP), with about $10 billion in revenues and approximately 570,000 clients, is one of the world's largest providers of business outsourcing solutions. Leveraging over 60 years of experience, ADP offers a wide range of human resource, payroll, tax and benefits administration solutions from a single source. ADP's easy-to-use solutions for employers provide superior value to companies of all types and sizes. ADP is also a leading provider of integrated computing solutions to auto, truck, motorcycle, marine, recreational vehicle, and heavy equipment dealers throughout the world. For more information about ADP or to contact a local ADP sales office, reach us at 1.800.225.5237 or visit the company's Web site at www.ADP.com.

About Macroeconomic Advisers, LLC
Macroeconomic Advisers, LLC (MA) has been the most trusted source for U.S. macroeconomic forecasts and commentary, monetary and fiscal policy analysis, and econometric modeling for 25 years. MA's clients include leading financial service firms, nonfinancial corporations, key policymaking agencies of the U.S. government, as well as State and Foreign Government agencies. Additional information on Macroeconomic Advisers, LLC is available on the company's website, www.MacroAdvisers.com.

The ADP logo, ADP, ADP National Employment Report, and ADP Small Business Report are registered trademarks of ADP, Inc.

Contact Information