In July, private-sector employment across the country rose by 200,000 jobs, with the largest gains coming from small businesses, according to the latest monthly employment report by Roseland-based payroll processing firm Automatic Data Processing.
Small businesses added some 82,000 jobs this month, while midsized businesses added 60,000 jobs added and large companies accounted for 57,000 new positions.
“Businesses are adding to payrolls in most industries and across all company sizes,” said Mark Zandi, chief economist of Moody’s Analytics, in a statement. “The job market has admirably weathered the fiscal headwinds, tax increases and government spending cuts. This bodes well for the next year, when those headwinds are set to fade.”
Moody’s produces the report in conjunction with ADP. The report, which is culled from ADP’s payroll data, is typically a lead-up to the federal labor report; that’s due out Friday morning.
Among industries, the professional services sector logged significant gains, adding 49,000 jobs in July. Zandi said that, too, is good news.
That sector “is a mélange of lots of different, disparate industries, and as a result, it’s kind of difficult to draw strong conclusions about what’s going on,” Zandi said in a phone call with reporters today. “But I think it’s fair to say that in general, it’s a sign of strength that we’re seeing this kind of job growth in such a wide range of economic activity.”
Zandi said the data has not yet shown that health care reform is having any significant impact on hiring, and he doesn’t expect the Affordable Care Act to have any measurable effects through the rest of the year.
“It’s not something that has played a very large role in the labor market,” Zandi said. “It’s just not really in the data.”