ADP: payrolls up 109,000

The ADP report matters because it is one of the last big labor reads before the official U.S. jobs report — and this one came in firmer than expected. Private employers added 109,000 jobs in April, up from a revised 61,000 in March. That does not scream boom. But it does say the labor market is still standing up better than a lot of people expected a month ago. (adpemploymentreport.com) ### What actually came out? ADP’s April National Employment Report landed on May 6 and showed 109,000 new private-sector jobs. ADP also said annual pay growth for workers who stayed in their jobs slowed slightly to 4.4%, while pay for job-changers held at 6.6%. That mix matters — hiring improved, but wage pressure did not re-accelerate in the same way. (adpemploymentreport.com) ### Why did 109,000 feel stronger than it sounds? Because the comparison point was weak. March was revised to 61,000, so April looks like a real rebound. It was also ADP’s fastest monthly gain since January 2025. In other words, this was not an amazing jobs number in absolute terms, but it was bette(adpemploymentreport.com)9,000 or 120,000 — the exact benchmark varied, but 109,000 beat it. (adpemploymentreport.com) ### Where did the jobs show up? Mostly in a few pockets. Education and health services did the heavy lifting with 61,000 jobs. Trade, transportation, and utilities added 25,000. Construction added 10,000, and financial activities added 9,000. But professional and business services lost 8,000, and other services slipped by 1,000. So this was not a broad hiring surge across the whole economy — more like a few sturdy pillars holding the roof up. (adpemploymentreport.com) ### What about company size? That split was interesting. Small businesses added 65,000 jobs, and large employers added 42,000. Mid-size firms were softer, which is why ADP’s Nela Richardson said the weakness is “in the middle.” Basically, the biggest companies still have resources, the smallest can move quickly, and the middle looks more cautious. (adpemploymentreport.com) ### Does ADP tell us what Friday’s jobs report will say? Not cleanly. ADP tracks private payrolls using its own payroll data, while the Bureau of Labor Statistics measures total nonfarm payrolls with a different survey. The two reports often point in the same general direction, but month to month th(adpemploymentreport.com) for April is scheduled for Friday, May 8, 2026. (adpemploymentreport.com) ### Why does the Fed care? Because the Fed is stuck between two annoyances. The labor market has cooled from its hottest phase, but it still looks solid enough to avoid panic. Inflation, meanwhile, is still running above target, and the Fed’s April 29 statement explicitly said inflation is elevated, (adpemploymentreport.com)uts. (federalreserve.gov) ### So what is the real takeaway? The April ADP number says hiring is slow, uneven, and still alive. That is the core message. If Friday’s official jobs report tells a similar story, markets will read it as more evidence of a low-hire, low-fire economy — not collapsing, but not ripping either. And for the Fed, that usually means more patience. (cn([federalreserve.gov)-adp-says.html))