Total private sector nonfarm employment increased by 475,000 jobs from January to February 2022, according to the February ADP National Employment Report. Broadly distributed to the public each month, free of charge, the ADP National Employment Report is produced by the ADP Research Institute in collaboration with Moody's Analytics. The report, which is derived from ADP's actual data of those who are on a company's payroll, measures the change in total nonfarm private employment each month on a seasonally-adjusted basis.

The ADP National Employment Report is a monthly measure of the change in total U.S. nonfarm private employment derived from actual, anonymous payroll data of client companies served by ADP, a leading provider of human capital management solutions.  The report, which measures nearly 26 million U.S. workers, is produced by the ADP Research Institute, a specialized group within the company that provides insights around employment trends and workforce strategy, in collaboration with Moody's Analytics, Inc.

Highlights from the February 2022 report, which was released March 2, include the loss of 96,000 small-business jobs. Medium-size businesses, defined as companies with 50 to 499 employees, added 18,000 jobs, according to the report, while large business employment rose by 552,000 jobs. The vast majority of new jobs, 417,000, were added in the service sector, including leisure and hospitality; trade, transportation and utilities; professional and business services; and education and health services.

"Hiring remains robust but capped by reduced labor supply post-pandemic," said Nela Richardson, ADP Chief Economist. "Last month large companies showed they are well-poised to compete with higher wages and benefit offerings, and posted the strongest reading since the early days of the pandemic recovery. Small companies lost ground as they continue to struggle to keep pace with the wages and benefits needed to attract a limited pool of qualified workers."

ADP, a Hacienda tenant since 1997, is a comprehensive global provider of cloud-based human capital management solutions that unite human resources, payroll, talent, time, tax, and benefits administration, and a leader in business outsourcing services, analytics, and compliance expertise. The matched sample used to develop the ADP National Employment Report was derived from ADP payroll data, which represents 460,000 U.S. clients employing nearly 26 million workers in the U.S. The January total of jobs added was revised from -301,000 to 509,000.  Each month, the ADP Research Institute issues the ADP National Employment Report as part of the company's commitment to adding deeper insights into the U.S. labor market and providing businesses, governments, and others with a source of credible and valuable information.

The data for this report is collected for pay periods that can be interpolated to include the week of the 12th of each month, and processed with statistical methodologies similar to those used by the U.S. Bureau of Labor Statistics to compute employment from its monthly survey of establishments. Due to this processing, this subset is modified to make it indicative of national employment levels; therefore, the resulting employment changes computed for the ADP National Employment Report are not representative of changes in ADP's total base of U.S. business clients. 

For more information about ADP, please visit www.adp.com.

For more information about the ADP National Employment Report, please visit adpemploymentreport.com.