ADP National Employment Report: Private Sector Employment Increased by 103,000 Jobs in November; Annual Pay was Up 5.6%

Career Climbers / 7th December 2023

Private sector employment increased by 103,000 jobs in November, and annual pay was up 5.6 percent year-over-year, according to the November ADP® National Employment Report™ produced by the ADP Research Institute® in collaboration with the 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 U.S. employees.

The jobs report and pay insights use ADP’s fine-grained anonymized and aggregated payroll data to provide a representative picture of the private-sector labor market. 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 high-frequency, near real-time measure of U.S. 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 earnings of a cohort of almost 10 million employees over a 12-month period.

“Restaurants and hotels were the biggest job creators during the post-pandemic recovery,” said Nela Richardson, chief economist, ADP. “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.”

November 2023 Report Highlights*

View the ADP National Employment Report and interactive charts at www.adpemploymentreport.com.

JOBS REPORT

Private employers added 103,000 jobs in November
Last month brought moderate growth in hiring and another slowdown in pay gains. Both goods and services saw weakness, with leisure hospitality and manufacturing posting declines.

Change in U.S. Private Employment:     103,000

Change by Industry Sector

– Goods-producing:     -14,000

  • Natural resources/mining     5,000
  • Construction     -4,000
  • Manufacturing     -15,000

– Service-providing:     117,000

  • Trade/transportation/utilities     55,000
  • Information     4,000
  • Financial activities     11,000
  • Professional/business services     -5,000
  • Education/health services     44,000
  • Leisure/hospitality     -7,000
  • Other services     15,000

Change by U.S. Regions

– Northeast:     59,000

  • New England     7,000
  • Middle Atlantic     52,000

– Midwest:     2,000

  • East North Central     9,000
  • West North Central     -7,000

– South:     58,000

  • South Atlantic     24,000
  • East South Central     -10,000
  • West South Central     44,000

– West:     -10,000

  • Mountain     -6,000
  • Pacific     -4,000

Change by Establishment Size

– Small establishments:     6,000

  • 1-19 employees     22,000
  • 20-49 employees     -16,000

– Medium establishments:     68,000

  • 50-249 employees     71,000
  • 250-499 employees     -3,000

– Large establishments:     33,000

  • 500+ employees     33,000

PAY INSIGHTS

Pay growth continued its slowdown in November
Job-stayers saw a 5.6 percent pay increase in November, the slowest pace of gains since September 2021. Job-changers, too, saw slowing pay growth, posting pay gains of 8.3 percent, the smallest year-over-year increase since June 2021. The premium for switching jobs is at its smallest in three years of data.

Median Change in Annual Pay (ADP matched person sample)

– Job-Stayers     5.6%

– Job-Changers     8.3%

Median Change in Annual Pay for Job-Stayers by Industry Sector

– Goods-producing:                                                       

  • Natural resources/mining     5.2%
  • Construction     5.8%
  • Manufacturing     5.1%

– Service-providing:                                               

  • Trade/transportation/utilities     5.4%
  • Information     5.2%
  • Financial activities     6.0%
  • Professional/business services     5.5%
  • Education/health services     6.2%
  • Leisure/hospitality     6.5%
  • Other services     5.7%

Median Change in Annual Pay for Job-Stayers by Firm Size

– Small firms:                                                                

  • 1-19 employees     4.8%
  • 20-49 employees     5.7%

– Medium firms:                                                             

  • 50-249 employees     5.8%
  • 250-499 employees     5.7%

– Large firms:                                                                

  • 500+ employees     5.6%

To see Pay Insights by U.S. State, Gender, and Age for Job-Stayers, visit here:

* Sum of components may not equal total due to rounding.

You May Also Like

Gen Z Workers Are More Worried About Potential AI Threat To Their Jobs Than Gen X, Survey Reveals

Career Climbers / 20th February 2024

D2L, a global learning technology company, has released new findings into how U.S. employees are using generative artificial intelligence (AI) in the workplace – and how they see it impacting their...

start up business

IESE-Trained Startups Create 102,800 Jobs Worldwide, Raise $14.5 Billion in Capital

MBA Blog / 19th February 2024

Companies founded by the IESE Business School community have created 102,800 jobs worldwide and raised $14.5 billion in capital, including three unicorns. These figures, which show how the school continues to expand its entrepreneurial...