U.S. Private Payrolls Beat Expectations as Hiring Gains Momentum

by Emmitt Barry, Worthy News Washington D.C. Bureau Chief

(Worthy News) – U.S. businesses added more jobs than expected in May, offering another sign that demand for workers is strengthening despite pressure from the Iran war and elevated gas prices.

Private-sector payrolls rose by 122,000 jobs in May, ADP Research reported Wednesday, marking the strongest monthly gain since January 2025. April’s estimate was revised down by 4,000 to 105,000 jobs, while economists surveyed by Econoday had expected a gain of 120,000.

The ADP report followed Tuesday’s JOLTS data, which showed more job openings than expected and a continued low level of layoffs — both pointing to a labor market that remains resilient.

Hiring was broad-based across most major industries. Education and health services led the way with 57,000 new jobs, while trade, transportation, and utilities added 36,000. Construction payrolls rose by 8,000, and manufacturing added 3,000. Professional and business services, finance, and leisure and hospitality also posted gains.

The information sector was the only major category to shed jobs, losing 9,000 positions.

“All sizes of businesses added workers,” ADP said, underscoring that job growth was not limited to large employers.

“Hiring was more broad-based in May than we’ve seen in the last few years,” said ADP Chief Economist Nela Richardson. “The labor market continues to show sustained momentum going into the summer hiring season.”

The report gives President Trump’s economy another encouraging signal as employers continue hiring across much of the private sector, even as geopolitical and inflation pressures remain a concern.

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