Private sector employment increased by 177,000 jobs from March to April, according to the April ADP National Employment Report. This is down from 255,000 jobs added in March and the first report under 200,000 in the past six months.
Medium and small businesses led the increase, adding 78,000 and 61,000 jobs, respectively. Large businesses added 38,000 jobs in March.
Service-producing employment added 165,000 jobs this month. Professional/business services added 72,000 jobs, trade/transportation/utilities added 5,000 jobs and financial activities added 2,000 jobs. Leisure/hospitality added 35,000 jobs.
Goods-producing employment added 12,000 jobs in March. Manufacturing added 11,000 jobs while construction lost 2,000 jobs.
Real gross domestic product increased at an annual rate of 0.7 percent in the first quarter of 2017, according to the “advance” estimate by the Bureau of Economic Analysis. In the fourth quarter of 2016, real GDP increased 2.1 percent.
The bureau emphasized that the first-quarter advance estimate is based on source data that are incomplete or subject to further revision by the source agency.
The increase in real GDP in the first quarter reflected positive contributions from nonresidential fixed investment, exports, residential fixed investment, and personal consumption expenditures. These increases were offset by negative contributions from private inventory investment, state and local government spending, and federal government spending. Imports, which are a subtraction in the calculation of GDP, increased.