Private Payrolls at Weakest Pace in Almost 3 Years

October 12, 2023

ADP’s Employment Report showed that private payrolls were weaker than forecasted in September with just 89,000 jobs created, marking the slowest pace of growth since January 2021. While job gains were reported among small and mid-sized businesses, large businesses with 500+ employees shed 83,000 jobs. Among the various sectors, leisure and hospitality was by far the strongest, adding 92,000 jobs, though these gains were offset by losses seen in manufacturing, trade/transportation/utilities, and professional/business services.

What’s the bottom line? “We are seeing a steepening decline in jobs this month,” said Nela Richardson, chief economist for ADP. “Additionally, we are seeing a steady decline in wages in the past 12 months.” On that note, annual pay for job stayers increased 5.9% and job changers saw an average increase of 9.0%. These figures have cooled considerably from last year’s highs of 8% for job stayers and 16% for job changers, which is significant because it suggests lower wage-pressured inflation.

Share this post

Questions? Fill out our Contact Form or Call us Today

LevineCapital.com is a website owned by Levine Capital Management, LLC. By accessing this website, you agree to be bound by its Privacy Policy, Terms and Conditions of Use and Confidentiality Agreement.

The information on this website does not constitute an offer to sell, a solicitation of an offer to purchase or a recommendation of any interest in any investment or security described herein. Any such offer or solicitation shall be made only pursuant to the final confidential offering documents of any entity described on this website, which will contain information about each entity’s investment objectives and terms and conditions of an investment and may also describe certain risks and tax information related to an investment therein and which qualifies in its entirety the information set forth herein. The information contained herein does not constitute part of the offering documents of any entity. An investment in any investment included on this website, entails a high degree of risk (including the possible loss of a substantial part, or even the entire amount, of an investment) and no assurance can be given that any entity’s investment objectives will be achieved or that investors will receive a return of their capital. Past returns are not indicative of future performance.

Any financial projections or returns shown on the website are estimated predictions of performance only, are hypothetical, are not based on actual investment results and are not guarantees of future results. Estimated projections do not represent or guarantee the actual results of any transaction, and no representation is made that any transaction will, or is likely to, achieve results or profits similar to those shown. Any investment information contained herein has been secured from sources we believes are reliable, but we make no representations or warranties as to the completeness, adequacy or accuracy of any information provided. Investors should conduct their own due diligence, not rely on the financial assumptions or estimates displayed on this website, and are encouraged to consult with a financial advisor, attorney, accountant, and any other professional that can help you to understand and assess the risks associated with any investment opportunity.

Prospective investors should read the confidential offering materials of any privately offered investment product, including all risk and conflict disclosures included therein, before investing. Please read detailed information about such calculations in the investment manager’s detailed financial and information material. The information contained herein should be treated in a confidential manner and may not be reproduced or used in whole or in part for any other purpose.

Levine Capital Management does not make investment recommendations, and no communication through this website or in any other medium should be construed as such. Private placements on LevineCapital.com are intended for accredited investors (for persons residing in the U.S.), and for persons residing abroad in jurisdictions where securities registration exemptions apply. Private placements of securities are not publicly traded, are subject to holding period requirements, and are intended for investors who do not need a liquid investment. Private placement investments are NOT bank deposits (and thus NOT insured by the FDIC or by any other federal governmental agency), are NOT guaranteed by Levine Capital Management, and MAY lose value. Neither the Securities and Exchange Commission nor any federal or state securities commission or regulatory authority has recommended or approved any investment or the accuracy or completeness of any of the information or materials provided by or through the website. Investors must be able to afford the loss of their entire investment.