U.S. private-sector jobs increase by 110,000 in October

U.S. private-sector employment saw 110,000 more jobs in October on a seasonally adjusted basis, said a report released Wednesday by Automatic Data Processing, Inc. October's job improvement was driven mainly by the service sector, with employment rising by 114,000 jobs, down a bit from an increase of 122,000 in September. Employment in the goods-producing sector declined 4,000 and in particular manufacturing employment decreased by 8,000, according to the National Employment Report. The ADP said small and medium sized businesses accounted for all of the gain, adding 111,000 jobs in total, while large businesses decreased by 1,000 jobs. The report also revised the estimated advance in employment from August to September to 116,000 from the initially reported 91,000. "Such a result explains the growth in professional and business services employment. It also reflects manufacturers' uncertainty around investment and hiring," said Gary C. Butler, ADP's chief executive officer. A pickup in private hiring is needed to help reduce unemployment and boost consumer spending, which accounts for about 70 percent of the economy. But the distribution of job creation reflected no improvement in economic structural rebalance. The ADP National Employment Report, created by Automatic Data Processing, Inc., in partnership with Macroeconomic Advisers, LLC, is derived from actual payroll data and measures the change in total nonfarm private employment each month.