ADP National Employment Report Shows 204,000 Jobs Added in August

[mahatmakanejeeves]

Source: ADP®, Automatic Data Processing Payroll Services

ADP National Employment Report: Private Sector Employment Increased By 204,000 Jobs in August

ROSELAND, N.J. –September 4, 2014 –Private sector employment increased by 204,000 jobs from July to August according to the August ADP National Employment Report®. Broadly distributed to the public each month, free of charge, the ADP National Employment Report is produced by ADP®, a leading global provider of Human Capital Management (HCM) solutions, in collaboration with Moody’s Analytics. The report, which is derived from ADP’s actual payroll data, measures the change in total nonfarm private employment each month on a seasonally-adjusted basis.

Goods-producing employment rose by 41,000 jobs in August, up from 23,000 jobs gained in July. The construction industry added 15,000 jobs over the month, slightly above last month’s gain. Meanwhile, manufacturing added 23,000 jobs in August, the highest total in that sector since December 2012.

Service-providing employment rose by 164,000 jobs in August, down from 190,000 in July. The ADP National Employment Report indicates that professional/ business services contributed 51,000 jobs in August, down from 60,000 in July. Expansion in trade/transportation/utilities grew by 28,000, down from July’s 43,000. The 5,000 new jobs added in financial activities was down almost half from last month’s number.

"August marks the fifth straight month of employment gains above 200,000, continuing an encouraging trend for the U.S. labor market,”said Carlos Rodriguez, president and chief executive officer of ADP. ... Mark Zandi, chief economist of Moody’s Analytics, said, "Steady as she goes in the job market. Businesses continue to hire at a solid pace. Job gains are broad based across industries and company sizes. At the current pace of job growth the economy will return to full employment by the end of 2016.”

Change in Nonfarm Private Employment (in thousands)



Historical Trend - Change in Total Nonfarm Private Employment (in thousands)



Read more: http://www.adpemploymentreport.com/2014/August/NER/NER-August-2014.aspx

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Good morning, Freepers and DUers alike. I especially welcome our good friends from across the aisle. Please, everyone, put aside your differences long enough to digest the information. After that, you can engage in your usual donnybrook.

What is important about these statistics is not so much this month’s number, but the trend. So let’s look at some earlier numbers.

Bureau of Labor Statistics, for employment in July 2014:

Payroll employment increases in July (+209,000); unemployment rate changes little (6.2%)
http://www.democraticunderground.com/1014860280

ADP® (Automatic Data Processing), for employment in July 2014:

ADP National Employment Report Shows 218,000 Jobs Added in July
http://www.democraticunderground.com/1014858666

Bureau of Labor Statistics, for employment in June 2014. Because the July 4th holiday fell on a Friday, the report went out a day early. The big thread at DU was started by Hissyspit:

BREAKING: U.S. Jobless Rate Falls to 6.1% (Lowest Since Sept. 2008), June Payrolls Rise 288,000
http://www.democraticunderground.com/1014838678

Mine was over in the Economy forum:

Payroll employment increases by 288,000 in June; unemployment rate declines to 6.1%
http://www.democraticunderground.com/111654556

ADP® (Automatic Data Processing), for employment in June 2014:

U.S. Economy Added 281,000 Private-Sector Jobs in June, According to ADP National Employment Report.
http://www.democraticunderground.com/1014837988

Bureau of Labor Statistics, for employment in May 2014:

Payroll employment rises by 217,000 in May; unemployment rate unchanged at 6.3%
http://www.democraticunderground.com/1014820273

ADP® (Automatic Data Processing), for employment in May 2014:

U.S. Economy Added 179,000 Private-Sector Jobs in May, According to ADP National Employment Report
http://www.democraticunderground.com/1014818511

Two more things:

Meet FRED, every wonk’s secret weapon

FRED stands for Federal Reserve Economic Data. It serves as an online clearinghouse for a wealth of numbers: unemployment rates, prices of goods, GDP and CPI, things common and obscure. Today, FRED is more than a little bit famous, thanks to the public’s fascination with economic data.

Federal Reserve Economic Data

And:

So how many jobs must be created every month to have an effect on the unemployment rate? There's an app for that.

http://www.frbatlanta.org/chcs/calculator/index.cfm
Federal Reserve Bank of Atlanta Jobs Calculator™

Well, enough of that. On with the show.

[merrily]

1. Could be my imagination, but my own neighborhood seems less depressed.

Fewer little stores seem to be closing. And, if they do, the store doesn't seem to remain empty as long.

I hope I am correct and not just wishful.

[Blue_Adept]

6. Anecdotes are definitely interesting

Because it feeds the mind of how you perceive your area.

I can say that in my town of about 25,000, I've seen some long established local businesses moving to larger facilities in town, more smaller shops opening and a sense of a small revival going on within locally owned and operated businesses. We've got a number of chains moving to town as well as we have a relatively new strip mall area set up but is bringing in shops that don't compete with the actual local businesses. So it feels like a good positive.

[merrily]

7. My litte local area is definitely not chain friendly. The CVS moving in some years back caused an

uproar. And we have a 7-11. That's about it for national chains, but I am talking a very small area, maybe 10 blocks from my home, places that are an easy walk.

[OnlinePoker]

2. What is the difference between "Goods-producing" and "manufacturing"?

Aren't they the same thing?

[Deadbeat Republicans]

3. The difference is,

Goods-producing industries are primarily associated with the production of goods (e.g., growing of crops, generation of electricity, the manufacturing of computers), however, these sectors may also produce some services (e.g., pest control services, plumbing services, land subdivision, house-painting, support services for mining operations). https://www.ic.gc.ca/eic/site/cis-sic.nsf/eng/h_00007.html

Manufacturing is hamburgers (according to bush* ) ?!?

[whatthehey]

4. This myth will not die

Manufacturing is hamburgers (according to bush* ) ?!?

No. It isn't.

Yes it was discussed - in 2004 - but lots of discussions are never followed by implementation and NAICS codes do not include burger flipping or anything of the like as manufacturing.

Here is the relevant code 722 which as we can see specifies fast food among others, and is under the services sector

http://www.bls.gov/iag/tgs/iag722.htm

Here is the closest thing in the manufacturing sector - Food mfg 311 - which is centered around raw material processors such as bakeries. The job count compared to the first code is tiny and it's clear that absent a few boutique specialty stores this is centered on wholesale processors and in no way includes mass market QSR's.

http://www.bls.gov/iag/tgs/iag311.htm

[Deadbeat Republicans]

8. My bad, I should've put a sarcasm thingy at the bottom

Sorry you had to go through all that trouble.

[whatthehey]

9. no trouble, and not picking on you specifically

it's a common claim that many people assume is true. Since I know who issues NAIC codes, it took 3 mins tops to find and cut/paste.

[Deadbeat Republicans]

10. I never thought you were picking on me.

Some people on the Internet take education as an intimidation, not I thou, I read your links, they were very informative, thank you !

I've always thought the republican party exploited the fast food industry to manipulate job growth reports, such as Dan Quayle did it back in 92.

President Quayle's - Alternative History

" The next day, Quayle's motorcade passed a Burger King with a Help Wanted sign posted, and Quayle stopped the motorcade and pointed the sign out to the accompanying journalists, saying that the minimum-wage fast-food job was an "optimistic sign that things are turning around in California." http://althistory.wikia.com/wiki/President_Quayle

[quadrature]

5. part-time employment surges by 800K ...

do the math

[brentspeak]

11. Exactly

The government loves cooking the books to make the unemployment figure look rosier.