U.S. private employers in April added the most jobs in seven months, led by gains in industries hit hardest by the pandemic and signaling hiring will continue improve as the economy reopens and more Americans are vaccinated.
Company payrolls increased by 742,000 during the month after an upwardly revised 565,000 gain in March, according to ADP Research Institute data released Wednesday. The median projection in a Bloomberg survey of economists called for an increase of 850,000.
Economists expect employment to continue to improve as Covid-19-related shutdowns and health concerns subside. The ADP data precede Friday’s monthly jobs report, which is forecast to show the economy added nearly a million jobs in the month.
“Service providers have the most to gain as the economy reopens, recovers and resumes normal activities,” Nela Richardson, ADP’s chief economist, said in a statement.
All but one industry saw payroll improvements, according to the ADP data, which represent firms employing 26 million U.S. workers. Gains were led by leisure and hospitality companies, where jobs rose by 237,000, the biggest gain since June. Trade and transportation payrolls rose by 155,000 in the month.
Large businesses hired the most workers, followed by companies with less than 50 employees.
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