The US private sector added 140,000 jobs in February, signalling a modest uptick in the labour market ahead of job openings figures later this morning and Friday’s official non-farm payrolls report.
February job gains surpassed 111,000 in January but fell below the 150,o00 that economists polled by LSEG predicted.
Wage growth for those who remained in their jobs continued to decelerate, moderating to an annual gain of 5.1 per cent, the smallest gain since August. That is potentially an encouraging sign for policymakers trying to tame inflation.
“Job gains remain solid. Pay gains are trending lower but are still above inflation,” ADP chief economist Nela Richardson said.
Wage growth for job changers accelerated for the first time in a year to an annual rate of 7.6 per cent in February.