In a positive indicator for the US economy, the private sector witnessed a more substantial job addition than anticipated in December, according to payroll firm ADP. The data, released on Thursday, revealed a notable rise of 164,000 jobs in the final month of 2023, surpassing the revised figure of 101,000 for November.
The surge in employment was particularly notable in the leisure and hospitality sector, signaling a return to pre-pandemic hiring trends. However, it’s worth noting that certain sectors, such as manufacturing, experienced losses during this period.
ADP Chief Economist Nela Richardson commented, “We’re returning to a labor market that’s very much aligned with pre-pandemic hiring,” emphasizing the resilience and strength of the current job market despite the backdrop of higher interest rates.