Private payrolls rose by 98,000 in June, less than expected, ADP reports

[BumRushDaShow]

Source: CNBC

Published Wed, Jul 1 20268:15 AM EDT


Companies added slightly fewer workers than expected in June, with hiring targeted heavily toward healthcare-related sectors, ADP reported Wednesday.

Private sector employment grew by a seasonally adjusted 98,000 for the month, down from an unrevised 122,000 in May and a bit below the Dow Jones consensus forecast for 110,000, the payrolls processing firm reported.

The ADP report serves as a precursor to the more widely watched nonfarm payrolls count due Thursday from the Bureau of Labor Statistics. ADP’s count in recent months has generally undershot the official government report, which has shown mostly solid job creation this year.

Nearly half the growth in June — 48,000 — came from the education and health services sector, a consistent leader for payroll growth. All but 2,000 of the new jobs came from services.

Read more: https://www.cnbc.com/2026/07/01/private-payrolls-rose-by-98000-in-june-less-than-expected-adp-reports.html

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This is the 3rd party ADP's report. The Labor Department Unemployment rate comes out Thursday (a day earlier since July 4 is being celebrated on the Friday the 3rd).

[progree]

1. " the official government report, which has shown mostly solid job creation this year."

Here are the monthly nonfarm payrolls net job increases from the "government report"
https://data.bls.gov/timeseries/CES0000000001?output_view=net_1mth
Monthly increases, January through May 2026, in thousands
160 -156 214 179 172

Yes, February was a 156k jobs DEcrease.

The last 3 months have been "solid" by today's standards, but Januay and February combined for a combined job increase of only 4k.

The 5 months average: +114k/month

There are various estimates of the number of net new jobs needed to keep the unemployment rate stable, given negative net immigration, an old number I remember from one of the Federal Reserve banks was 57k/month. The later two numbers I saw were a little less than that. I haven't been keeping up.

The last 2 months, April and May, will be revised in the report being released tomorrow (they always revise the previous 2 months in each report)

[maxsolomon]

2. By the standards of the Biden years, these are pitiful numbers.

But let's not compare the 2, let's just celebrate that there is any job growth at all?