ADP: US private sector added 44,000 jobs in July, well below expectations

Published Aug 5, 12:21 PM UTC

ADP reported that the U.S. private sector added 44,000 jobs in July 2026, significantly below economists' expectations of 70,000 and down from the prior month's revised gain of 95,000. Education and health services led job creation with 36,000 positions, followed by financial activities (10,000), professional and business services (9,000), and other services (6,000). On the negative side, leisure and hospitality lost 11,000 jobs, trade, transportation and utilities lost 8,000, and natural resources and mining lost 6,000. Large businesses with 500+ employees added 13,000 jobs, while small businesses with fewer than 50 employees added 23,000. Pay for workers staying in their roles rose 4.4% year-over-year, while pay gains for job-changers accelerated to 7%, the largest increase since August 2025. ADP chief economist Nela Richardson noted that job-changers are highly sensitive to economic conditions and that hiring patterns are changing as employers react to shifting macroeconomic conditions.