ADP Non-Farm Employment Change

The ADP Non-Farm Employment number is an estimated number of employed people during the previous month, excluding the farming industry and government.  ADP is a private company that provides payroll services to many companies throughout the U.S. and therefore can estimate overall employment or unemployment.  Obviously we all know the impact of unemployment, the more people that are employed the more willing people will be to spend and as we live in a spend/growth economy that is what is needed. The forecasted number for the ADP employment change was 23k, but the actual number came in at -39k, the previous number was 10k.  This means that private sector jobs decreased by 39,000 from August to September.  The previous report from July to August of -10k was revised up to 10k, so we'll have to watch for revisions of this months report next month.  This is  much worse than was anticipated, but is a reflection of what is really occurring in our economy.

ADP reported job losses were suffered by all major sectors and all payroll sizes.  To view the report click here.