US private payrolls decline as labor market shows strain

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Surprise November drop raises concerns ahead of official data

Private sector employment in the United States fell unexpectedly in November, according to the latest ADP report released Wednesday. Employers shed 32,000 jobs after adding a revised 47,000 positions in October. Economists surveyed by Reuters had forecast a modest gain of 10,000 jobs.

The report, developed with the Stanford Digital Economy Lab, often diverges from the official figures compiled by the Bureau of Labor Statistics (BLS). However, it still offers an early signal of hiring momentum ahead of the federal employment update.

Government shutdown delays key labor report

The BLS will publish its delayed employment report for November on 16 December, instead of the original 5 December release date. The prolonged federal government shutdown halted data collection for the household survey, meaning the unemployment rate for October will not be recorded or published.

Non farm payroll results for October will be included in the December release, alongside fresh data for November.

Economic uncertainty stalls hiring

While the ADP figures point toward weakening labor conditions, weekly jobless claims have remained aligned with what analysts describe as a “no hire, no fire” trend. Businesses appear cautious about expanding headcount as tariffs and broader economic concerns weigh on confidence.

The economy added 119,000 jobs in September, pushing the unemployment rate to a four year high of 4.4%, signaling persistent softness in hiring.

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