The latest ADP National Employment Report reveals a noteworthy increase in private sector employment, with a total gain of 104,000 jobs in July 2025. This report, developed in collaboration with the Stanford Digital Economy Lab, provides a comprehensive overview of the labor market based on anonymized payroll data from over 25 million employees. According to Dr. Nela Richardson, chief economist at ADP, this steady growth in hiring and wages reflects the resilience of the economy, buoyed by optimistic employers.
Job Growth Breakdown
The increase of 104,000 jobs was primarily seen in the service sector, despite setbacks in the education and health services area, which reported job losses throughout the year. Here are some key statistics from the report:
- - Goods-Producing Industries:
- Total Job Gains: 31,000
- Natural Resources/Mining: +9,000
- Construction: +15,000
- Manufacturing: +7,000
- - Service-Providing Industries:
- Total Gains: 74,000
- Trade/Transportation/Utilities: +18,000
- Information: +9,000
- Financial Activities: +28,000
- Professional/Business Services: +9,000
- Education/Health Services: -38,000
- Leisure/Hospitality: +46,000
- Other Services: +2,000
Regional Overview
The July report indicated a mixed performance across various regions in the U.S., with the Northeast losing jobs (totaling -18,000), while the South and West saw increased hiring (43,000 and 75,000 jobs added, respectively). The Midwest managed to add 18,000 jobs, providing a balance to the job growth across the country.
Establishment Size Insights
When examining job growth by establishment size, small and medium-sized businesses played a significant role:
- - Small Establishments (1-19 employees): +12,000 jobs
- - Medium Establishments (50-249 employees): +46,000 jobs
- - Large Establishments (500+ employees): also increased by 46,000 jobs
This trend showcases the resilient nature of smaller firms in contributing to the labor market.
Wage Growth
In addition to job growth, the report highlights an annual pay growth of 4.4% for those staying in their positions. For job changers, this figure significantly rises to 7%. Over the past four months, wage growth has remained stable. Here are industry-specific insights regarding pay changes for job-stayers:
- - Goods-Producing Industries:
- - Natural Resources/Mining: +4.4%
- - Construction: +4.5%
- - Manufacturing: +4.6%
- - Service-Providing Industries:
- - Trade/Transportation/Utilities: +4.2%
- - Information: +4.2%
- - Financial Activities: +5.1%
- - Professional/Business Services: +4.2%
- - Education/Health Services: +4.5%
- - Leisure/Hospitality: +4.5%
Continuing Trends
The report revises the June employment figure where job losses were previously reported as 33,000; the actual count now stands at -23,000. Insights released on pay growth by state, gender, and age provide further clarity on compensation dynamics across the workforce.
The August 2025 ADP National Employment Report is set to be released on September 4, 2025, providing updates on hiring trends and economic conditions as they evolve. For more detailed statistics, historical files, and additional methodologies, individuals and organizations can visit the ADP National Employment Report website.
ADP has established itself as a key player in the labor market analysis, offering crucial insights that help employers, employees, and policymakers make informed decisions based on data-driven discoveries. With their extensive background in human resources and payroll solutions, ADP remains committed to shaping the future of work through innovative practices and technologies.