Private-sector employment in the US rose by 86K in October 2026, surpassing market expectations of 69K and matching September’s downwardly revised increase. Hiring remained firm for the second month in a row, with businesses of all sizes expanding their payrolls. Mid-sized firms led the gains with 33K new jobs, followed by small businesses with 28K and large companies with 24K.
Job creation was concentrated in the services sector. Trade, transportation, and utilities added 39K positions, education and health services contributed 28K, and leisure and hospitality increased employment by 19K. Financial activities and construction also recorded gains.
By contrast, professional and business services cut 27K jobs, marking a third consecutive month of declines. Natural resources and mining shed 8K positions, while information services decreased by 2K. According to ADP’s Nela Richardson, pay growth for job changers accelerated to its fastest pace since March 2024, driven by higher base salaries, bonuses, overtime, and longer working hours.
