Small business job creating rebounded considerably last month when compared with the month before. According to the October 2017 ADP National Small Business Report, small businesses with 49 or fewer employees added 79,000 jobs overall.
In September, by contrast, small businesses lost 7,000 jobs.
October 2017 ADP Small Business Report
The smallest of small businesses — those with 1-19 employees — saw am increase of 43,000 new jobs last month, up from a loss of 11,000 jobs in September, as per the ADP (NASDAQ:ADP) report.
Other small businesses — those with 20-49 employees — also saw an increase in employment last month, adding 36,000 jobs to the economy.
The overall strong showing in employment for small businesses in October was largely driven by small businesses in the service-providing sector like leisure and hospitality that recorded the highest increase of 47,000 new jobs. Small businesses in the goods-producing sector like manufacturers added 32,000 jobs.
Very small service-providing businesses added 25,000 jobs (up from a loss of 19,000 in September), while slightly bigger companies in that same sector added 22,000 jobs (up from a loss of 3,000 in September).
In total, the national job report shows 235,000 new jobs were added in October by small, midsize and large nonfarm private sector businesses combined. The small business figure of 79,000 jobs added in October shows the important contribution small businesses make to economic growth.
October 2017 ADP Franchise Report
Meanwhile, U.S. franchise businesses added 30,600 jobs overall to the economy last month, up from 14,000 jobs in September. Restaurants accounted for the highest increase of 26,600 new jobs, followed by auto parts and dealers with 2,100 new jobs, and food retailers with 700 new jobs.
Accommodations franchises, however, continued their poor showing with a loss of 1,600 jobs in October. In September, the same accommodations sector recorded a loss of 300 jobs.
October 2017 ADP National Emplotment Report
The ADP National Employment Report, including the Small Business and Franchise Employment Reports, are published monthly by the ADP Research Institute in close collaboration with Moody’s Analytics and its team of labor market researchers. The reports provide a monthly snapshot of U.S. nonfarm private sector employment based on actual transactional payroll data.
[“Source-smallbiztrends”]
