ADP: Much Weaker Jobs Outlook
Coming on the heels of euro-zone unemployment ticking up 10.9 percent (making it eleven straight months of rising joblessness) and the U.K. and Spain slipping into recession, ADP has released a disappointing new U.S. jobs report, predicting that the U.S. added 119,000 jobs last month, rather than the 170,000 projected. Bloomberg reports:
Companies added the fewest number of U.S. workers in seven months in April, indicating the job market may take time to strengthen, a private report based on payrolls showed today. . . .
A Labor Department report in two days is projected to show that private payrolls accelerated in April, while unemployment held at 8.2 percent. . . . Goods-producing industries, which include manufacturers and construction companies, decreased workers by 4,000 in April, today’s figures showed. Employment at factories declined by 5,000 in April as did payrolls in construction.
The Labor Department’s report, to be released on May 4, may show overall hiring, which includes government jobs, may have climbed about 160,000 after rising 120,000 in March, according to the Bloomberg survey median.