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Labor + Economics

US Private Sector Employment Increases by 807,000 in December

RNN News Update

January 5, 2022

Labor + Economics

US Private Sector Employment Increases by 807,000 in December

RNN News Update

January 5, 2022

Private sector employment increased by 807,000 jobs from November to December according to the ADP National Employment Report. The report, prepared in conjunction with Moody's Analytics, is derived from ADP's actual data of those who are on a company's payroll, measures the change in total nonfarm private employment each month on a seasonally-adjusted basis.

Services saw the largest rise, with leisure and hospitality leading the pack. These numbers are pre-omnicron variant hitting the US in force.

The December number is markedly higher than November, which showed 534,000 jobs added.

"December's job market strengthened as the fallout from the Delta variant faded and Omicron's impact had yet to be seen," said Nela Richardson, chief economist, ADP.  "Job gains were broad-based, as goods producers added the strongest reading of the year, while service providers dominated growth. December's job growth brought the fourth quarter average to 625,000, surpassing the 514,000 average for the year. While job gains eclipsed 6 million in 2021, private sector payrolls are still nearly 4 million jobs short of pre-COVID-19 levels."

December 2021 Report Highlights

Total U.S. Nonfarm Private Employment: 807,000

By Company Size

- Small businesses: 204,000

  • 1-19 employees: 104,000
  • 20-49 employees: 100,000

- Medium businesses: 214,000

  • 50-499 employees: 214,000

- Large businesses:     389,000

  • 500-999 employees: 70,000
  • 1,000+ employees: 319,000

By Sector

- Goods-producing: 138,000

  • Natural resources/mining: 2,000
  • Construction: 62,000
  • Manufacturing: 74,000

- Service-providing: 669,000

  • Trade/transportation/utilities: 138,000
  • Information: 12,000
  • Financial activities: 24,000
  • Professional/business services: 130,000
  • Education/health services: 85,000
  • Leisure/hospitality: 246,000
  • Other services: 36,000

- Franchise Employment**

  • Franchise jobs: 39,400

‍

Private employers continued to add jobs as the year closed out
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