The employment
report published by Automatic Data Processing Inc. (ADP) and Moody's Analytics revealed
that U.S. private employers added 103,000 jobs in December. This represented
the highest number since August (+180,000).
Economists had predicted
an addition of 115,000 new jobs for December.
The November
figure saw a
downward revision to 101,000 from the originally reported 103,000.
According to the report, the December increase was led by leisure and hospitality (+59,000), and education and health services (+42,000). Meanwhile, manufacturing (-13,000) shed the most jobs.
The report also showed that pay growth continued to ease in December, with the job changers registering an increase of 8.0 per cent, down from 8.3 per cent in November, and the job stayers recording a rise of 5.4 per cent, down from 5.6 per cent in November.
Commenting on the latest report, Nela Richardson, ADP’s chief economist, noted that the U.S. is returning to a labour market that's very much aligned with pre-pandemic hiring. “While wages didn't drive the recent bout of inflation, now that pay growth has retreated, any risk of a wage-price spiral has all but disappeared,” she added.