Payroll processor ADP has released a report indicating that U.S. private sector employment saw a stronger-than-anticipated increase in January. According to ADP, private sector jobs rose by 183,000 in January, following an upward revision to 176,000 jobs added in December. This surpasses economists' forecasts, who projected an increase of 150,000 jobs, as opposed to the initially reported 122,000 for the previous month.
ADP's chief economist, Nela Richardson, noted, "We experienced a robust beginning to 2025, though it highlighted a divide within the labor market. Consumer-facing industries were the main drivers of hiring, whereas job growth lagged in business services and production."
