The US economy has been hit hard by the pandemic. Although he is on a slow but steady path to recovery, he has also faced some challenges.
But there is good news from the job market. The ADP Research Institute reports that the private sector created 568,000 jobs in September. This figure does not directly correspond to the number of new jobs reported by the United States Bureau of Labor Statistics, which just released its September employment report, but it is not unusual, as ADP reports data slightly. different.
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Big business led the way
Not surprisingly, the strongest employment growth in the private sector was observed among large firms. Those with 1,000 or more employees added 354,000 jobs, the bulk of the hiring increase last month. Large companies with 500 to 999 employees created 36,000 jobs.
Meanwhile, mid-sized companies with 50 to 499 employees have created 115,000 new jobs in the market. And small businesses with 49 or fewer employees added 63,000.
Hires in leisure and hotels are exploding
The entertainment and hospitality industry, which includes hotels and restaurants, was among the hardest hit in the early days of the pandemic. And hiring has been particularly difficult in this industry due to health concerns and low wages. But last month, this industry alone was responsible for 226,000 new jobs.
Meanwhile, jobs in professional and business services increased by 61,000, while jobs in transport, commerce and utilities increased by 54,000. Education and health services also added 66,000. .
Has the economy recovered?
While the U.S. economy is in much better shape than it was a year ago, there is still a long way to go before the unemployment rate returns to pre-pandemic levels. Still, ADP’s September report is positive news for the economy, especially when paired with the recent announcement that the national unemployment rate has just hit a pandemic-era low.
The only negative, if we want to call it that, is that an improved economy reduces the likelihood of a fourth stimulus check hitting Americans’ bank accounts this year. Many people have made good use of their previous stimulus checks and have hoped for a fourth round of direct payments. But given the state of the economy right now, that doesn’t seem likely this year.
Still, families with children get some additional monthly benefits in the form of the expanded child tax credit. And since there are so many companies looking for more labor, those looking for an increase in their income can explore options for securing a side job in addition to their main job.
Earlier this summer, many economists feared that the emergence of the delta variant could significantly hamper job growth. The fact that ADP is reporting so many new jobs for September is a positive development, although it is more difficult to justify another stimulus check.