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US private sector hiring picks up less than expected in June
[WASHINGTON] US companies added more jobs in June, but fewer than what analysts had forecast, raising concerns the labor market is softening even as the current US economic expansion marked a record run this month, a report by a payrolls processor showed on Wednesday.
The private sector payrolls increased by 102,000 jobs in June, falling short of the 140,000 projected by economists polled by Reuters.
Private payroll gains in the month earlier were revised up to 41,000 from an originally reported 27,000 increase. The May reading was still the weakest since March 2010.
The report is jointly developed with Moody's Analytics.
Overall services-providing jobs grew by 117,000 last month, while goods-producing jobs fell by 15,000.
Small businesses reduced their payrolls by 23,000 in June, while midsized and large companies added 60,000 and 65,000 workers, respectively, ADP said.
The ADP figures come ahead of the US Labor Department's more comprehensive non-farm payrolls report on Friday, which includes both public and private-sector employment.
Economists polled by Reuters are looking for US private payroll employment to have grown by 153,000 jobs in June, up from 90,000 the month before. Total non-farm employment is expected to have changed by 160,000.
The unemployment rate is forecast to stay steady at the 3.6 per cent recorded a month earlier.