ADP National Employment Report: Private Sector Employment Increased by 54,000 Jobs in August; Annual Pay was Up 4.4%
Rhea-AI Summary
ADP (NASDAQ:ADP) released its August 2025 National Employment Report, showing private sector employment increased by 54,000 jobs, significantly lower than July's revised 106,000 jobs. The report highlights a notable slowdown in hiring momentum across various sectors.
Annual pay growth remained steady at 4.4% for job-stayers and 7.1% for job-changers. Key sector performances include Leisure/hospitality adding 50,000 jobs and Construction gaining 16,000 positions, while Manufacturing lost 7,000 jobs. By establishment size, medium-sized businesses led job creation with 25,000 new positions, followed by large establishments (18,000) and small establishments (12,000).
Positive
- None.
Negative
- Overall job growth significantly decreased to 54,000 from July's 106,000
- Manufacturing sector lost 7,000 jobs
- Trade/transportation/utilities sector declined by 17,000 jobs
- Education/health services sector decreased by 12,000 positions
News Market Reaction
On the day this news was published, ADP gained 0.78%, reflecting a mild positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
The ADP National Employment Report is an independent measure of the labor market based on the anonymized weekly payroll data of more than 26 million private-sector employees in
"The year started with strong job growth, but that momentum has been whipsawed by uncertainty," said Dr. Nela Richardson, chief economist, ADP. "A variety of things could explain the hiring slowdown, including labor shortages, skittish consumers, and AI disruptions."
August 2025 Report Highlights
View the ADP National Employment Report and interactive charts at www.adpemploymentreport.com.
JOBS REPORT
Private employers added 54,000 jobs in August
Leisure and hospitality and construction performed well despite a broader month-over-month slowdown in hiring.
Change in
Change by Industry
- Goods-producing: 13,000
- Natural resources/mining 4,000
- Construction 16,000
- Manufacturing -7,000
- Service-providing: 42,000
- Trade/transportation/utilities -17,000
- Information 7,000
- Financial activities -2,000
- Professional/business services 15,000
- Education/health services -12,000
- Leisure/hospitality 50,000
- Other services 1,000
Change by
- Northeast: 15,000
- New England 7,000
- Mid-Atlantic 8,000
- Midwest: 14,000
- East North Central 17,000
- West North Central -3,000
- South: 4,000
- South Atlantic 4,000
- East South Central 15,000
- West South Central -15,000
- West: 8,000
- Mountain -4,000
- Pacific 12,000
Change by Establishment Size
- Small establishments: 12,000
- 1-19 employees 10,000
- 20-49 employees 2,000
- Medium establishments: 25,000
- 50-249 employees 18,000
- 250-499 employees 7,000
- Large establishments: 18,000
- 500+ employees 18,000
PAY INSIGHTS
Pay gains were little changed in August
Year-over-year pay growth was 4.4 percent for job-stayers and 7.1 percent for job-changers.
Median Change in Annual Pay
- Job-stayers
- Job-changers
Median Change in Annual Pay for Job-Stayers by Industry
- Goods-producing:
- Natural resources/mining
4.3% - Construction
4.4% - Manufacturing
4.7%
- Service-providing:
- Trade/transportation/utilities
4.2% - Information
4.2% - Financial activities
5.1% - Professional/business services
4.2% - Education/health services
4.4% - Leisure/hospitality
4.5% - Other services
4.1%
Median Change in Annual Pay for Job-Stayers by Firm Size
- Small firms:
- 1-19 employees
2.5% - 20-49 employees
4.0%
- Medium firms:
- 50-249 employees
4.7% - 250-499 employees
4.7%
- Large firms:
- 500+ employees
4.8%
To see Pay Insights by
The July total number of jobs added was revised from 104,000 to 106,000.
For additional information about the ADP National Employment Report, including historical files, employment and pay data, methodology, and a calendar of release dates, please visit https://adpemploymentreport.com/.
The September 2025 ADP National Employment Report will be released on October 1, 2025 at 8:15 a.m. ET.
About ADP Research
The mission of ADP Research is to make the future of work more productive through data-driven discovery. Companies, workers, and policy makers rely on our finely tuned data and unique perspective to make informed decisions that impact workplaces around the world.
To subscribe to monthly email alerts or obtain additional information about ADP Research, including employment and pay data, methodology, and a calendar of release dates, please visit https://www.adpresearch.com.
About ADP (NASDAQ: ADP)
ADP has been shaping the world of work with innovation and expertise for more than 75 years. As a global leader in HR and payroll solutions, ADP continuously works to solve business challenges for our clients and their workers, from simple, easy-to-use tools for small businesses to fully integrated platforms for global enterprises – and everything in between. Always Designing for People means we're focused on just that – people. We use our unmatched AI-driven insights and proven expertise to design innovative solutions that help people achieve greater success at work. More than 1.1 million clients across 140+ countries rely on ADP's exceptional service to support their people and drive their business forward. HR, Talent, Time Management, Benefits, Compliance, and Payroll. Learn more at ADP.com
ADP, the ADP logo, and Always Designing for People, ADP National Employment Report, and ADP Research are registered trademarks of ADP, Inc. All other marks are the property of their respective owners.
Copyright © 2025 ADP, Inc. All rights reserved.
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SOURCE ADP, Inc.
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