Private employers added 428,000 jobs in August, indicating the nation's pandemic-ravaged labor market is continuing to slowly recover from the coronavirus crisis, according to the ADP National Employment Report released Wednesday.
The goods-producing sector added 40,000 jobs, while the service-providing sector added 389,000.
Small businesses gained 52,000 jobs, including 43,000 in businesses with between one and 19 employees, and 9,000 in companies with between 20 and 49 employees. Franchise jobs increased by 21,500.
This reading followed July's increase of 212,000 (revised from 167,000) and missed the market expectation of 950,000 by a wide margin.More news: Lewis County Announces Three New COVID-19 Cases, Seven Recoveries
Commenting on the data, "the August job postings demonstrate a slow recovery", said Ahu Yildirmaz, vice president and co-head of the ADP Research Institute.
ADP's figures have differed greatly from the government's data over the past several months, leading in some cases to sizable revisions reflecting the process of benchmarking its number to the Bureau of Labor Statistics' figure.
The figures come just before the government's monthly jobs report on Friday, which is forecast to show private payrolls increased by almost 1.3 million, the fourth-straight month of gains.
U.S. private payrolls rose 428,000 in August, according to the ADP monthly employment reported released Wednesday. For instance, ADP's preliminary May estimate showed a 2.76 million decline in payrolls compared with the government's initial print of a 3.09 million increase.More news: Oil tanker in flames off Sri Lanka, spill possible
Separately on Wednesday, the Fed's "Beige Book" report of anecdotal information on business activity collected from contacts nationwide showed employment rising overall among districts, with gains mostly in manufacturing.
According to a Reuters survey of economists, private payrolls probably increased by 1.265 million jobs in August after rising 1.462 million in July. "But the climb out is slow and the risks are high that it will fall back in".
Most of the increase in employment in August was in industries directly impacted by the pandemic, including restaurants, leisure and hospitality.More news: Microsoft Revamps the Emoji Picker in Windows 10 WINDOWS