Tepid Jobs Report Better Than Expected: Employers Added 162,000 Jobs In September

ADP jobs report

NEW YORK, Oct 3 (Reuters) - U.S. private employers added 162,000 jobs in September, topping economists' expectations, a report by a payrolls processor showed on Wednesday.

Economists surveyed by Reuters had forecast the ADP National Employment Report would show a gain of 143,000 jobs.August's private payrolls were revised down to an increase of 189,000 from the previously reported 201,000.

While the numbers were a bit better than expected, it still was a drop from August, when ADP said private employers added 189,000 jobs, notes CNNMoney. The ADP report, while watched closely, sometimes diverges from what the federal government reports in its official monthly job report. That report includes the public sector and is due on Friday.

Today's report is "consistent with a moderate pace of job growth and we still haven't made much headway with the losses during the downturn," said Scott Brown, chief economist at Raymond James in St. Petersburg, Florida. "We would like to see growth on the order of 200,000 to 250,000."

CNNMoney reports that in its survey of economists, economists predicted that Friday's labor report would show 110,000 jobs were added in September, after accounting for 11,000 government job cuts.

The report is jointly developed with Macroeconomic Advisers LLC.

"This is consistent with a moderate pace of job growth and we still haven't made much headway with the losses during the downturn," said Scott Brown, chief economist at Raymond James in St. Petersburg, Florida.

"We would like to see growth on the order of 200,000 to 250,000."

U.S. stock index futures added to gains immediately after the data, while the dollar edged higher against the yen.

The ADP figures come ahead of the government's much more comprehensive labor market report for September due on Friday, which includes both public and private sector employment.

That report is expected to show job growth improved slightly, with employers adding 113,000 jobs. Private payrolls are seen rising by 130,000.

Economists often refer to the ADP report to fine-tune their expectations for the payrolls numbers, though it is not always accurate in predicting the outcome.

AOL Jobs contributed to this report.



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croone22

If you want the truth about today's job's report read the following from the raiser of Cain,you know,the 9-9-9- man: " October 5, 2012
Here comes the spin, but real unemployment remains unchanged and horrible

By DAN CALABRESE - U6 unemployment is what matters, and it remains unchanged at 14.7 percent.
This morning's jobs report is giving Obama's media backers a chance to change the narrative, and you'll be hearing throughout the day how this is "good news for the president" because unemployment has finally dipped below 8 percent to 7.8 percent, which is the lowest it's been in 44 months. This will be accompanied by their celebratory announcement of a statistic you've probably never even heard before, that of an increase of 873,000 in employment from the "household survey."
None of this represents anything good, but you have to understand what the numbers mean in order to recognize that. So let's go through it:
- The Bureau of Labor Statistics reports that only 114,000 new jobs were added in September. That is slighly better than the 96,000 that were originally reported in August (later oddly revised to more than 140,000), but it is still terrible, and still well below what you need to even keep up with population growth.
- The household survey includes people who took part-time jobs, which is why it says there are 456,000 fewer "unemployed" people, because you are not unemployed if you work at McDonald's. They are still undermployed, however, for purposes of being counted in the U6 unemployment number, which is why that figure remains unchnaged at 14.7 percent.

- The fact that 7.8 percent is the lowest we've seen U4 in 44 months only demonstrates how horrible the past 44 months have been. During the Bush Administration, U4 stayed around 5 percent from the end of his first-term recession until the financial market meltdown in 2008. The recession has been over since 2009 but unemployment has remained at or above 8 percent ever since. A slight drop now to 7.8 percent is mere statistical noise, especially with U6 remaining unchanged.

What is going to happen over the course of the next several days, however, is a competition of narratives over what these new numbers mean. You'll hear a lot about 7.8 percent, and you'll hear a lot about the household survey number of 873,000. You won't get much explanation to put them in context, except in a political context. But you should know what these numbers really mean, and now you do.

To read read more great commentary and see the latest videos, go to CainTV!

October 05 2012 at 2:22 PM Report abuse rate up rate down Reply
FRANK

Really....The number will be corrected and revised to trend upward around the middle of November. Suprised everyone?

October 05 2012 at 9:23 AM Report abuse rate up rate down Reply
rcalley1

ADP is more often incorrect than correct. They typically are off by as much as 50% so I discount these numbers, but even if it were true, its weak!

October 04 2012 at 10:10 AM Report abuse rate up rate down Reply
Michael

i belive this when i see it on Friday and even if 163,000 jobs where add how many are just for the Christmas season

October 03 2012 at 8:24 PM Report abuse +1 rate up rate down Reply
Holli, Chaney

Thank you Walmart for those 50,000 Seasonal jobs you added.

October 03 2012 at 7:49 PM Report abuse +1 rate up rate down Reply
jdykbpl45

To be revised, downward, in November.

October 03 2012 at 5:15 PM Report abuse +2 rate up rate down Reply
graham13431

I wouldn't hang my hat on that September 162,000 jobs gain number just yet. That number will be adjusted upward or downward (usually downward) within the next few weeks. The governments September jobs report that comes out Friday is a typically more accurate report since it includes both private and public jobs. In any event, whatever the actual number turns out to be, and you can bet it will be far fewer than is needed to even keep pace with the growth in population, the White House will do what it always does and claim that the number "is moving in the right direction." The fact of the matter is, that our capitalist system in and of itself, can and does routinely create that many jobs without any "help" whatsover from the White House. And that is exactly what it has been doing right along in spite of all the roadblocks the White House keeps putting up that only serve to discourage rather than encourage job creation. Can you imagine what the numbers would be if the White House would just get out of the way and let the system and the private sector together work their magic? Double if not more!

October 03 2012 at 4:48 PM Report abuse +2 rate up rate down Reply
1 reply to graham13431's comment
Holli, Chaney

The problem is we have have to add 200,000 jobs just to meet the new people coming into the work place. We need 250 to 300k to start putting a dent in unemployment.

October 03 2012 at 7:50 PM Report abuse rate up rate down Reply
ocamelpooh

What about the 23 million Americans without jobs,what do they get ?

October 03 2012 at 4:37 PM Report abuse +2 rate up rate down Reply
1 reply to ocamelpooh's comment
ocamelpooh

Oh yeah , food stamps and welfare, I forgot.

October 03 2012 at 4:49 PM Report abuse +1 rate up rate down Reply
ocamelpooh

testing

October 03 2012 at 4:35 PM Report abuse rate up rate down Reply