US private sector adds fewer jobs than expected in January
Private sector employment in the US rose less than expected in January, according to figures released by ADP on Wednesday.
04 February 2026 13:55:13
Source: Sharecast
Employment increased by 22,000 from December, versus expectations for a 45,000 jump. Meanwhile, the December figure was revised to show that 37,000 jobs were added, down from 41,000.
Small businesses with fewer than 50 employees added no jobs, while medium businesses with between 50 and 499 employees added 41,000 jobs. Large businesses with more than 500 employees shed 18,000 jobs.
The service sector added 21,000 jobs, while the goods-producing sector saw a 1,000 increase.
The data also showed that year-over-year pay growth for job-stayers was little changed in January at 4.5%. For job-changers, annualised pay growth eased to 6.4% from 6.6%.
Nela Richardson, chief economist at ADP, said: "Job creation took a step back in 2025, with private employers adding 398,000 jobs, down from 771,000 in 2024.
"While we've seen a continuous and dramatic slowdown in job creation for the past three years, wage growth has remained stable."