This month's release of the ADP Employment Report carries both good and less-than-good news for the economy. On the bright side, the country added 185,000 new jobs to the private sector workforce last month. Unfortunately, these numbers fall fairly short of what many analysts were expecting for July.
While any amount of new jobs is certainly cause for celebration, particularly as the economy continues to gain momentum and push forward from a years-long recession, many were projecting a total of 215,000 jobs to be added last month. This 30,000 gap between reality and expectations is even more noticeable in the wake of June's figures, which saw an even greater 229,000 jobs added.
Breaking down the numbers, the ADP Employment Report finds that larger companies saw the biggest gains, with a total of 64,000 new positions created — their best month for hiring since last December. But smaller businesses with fewer than 50 workers also saw a notable uptick in employment, adding 59,000 new jobs to their staffs. Franchises also accounted for over 33,000 new jobs created in the past month.
While failing to break the 200,000 barrier, let alone come close to the initially projected 215,000 count, will undoubtedly disappoint some, the creation of tens of thousands of new jobs is nothing to sneeze at either. It's also important to put that slower-than-expected growth in perspective, with CNBC attributing much of the blame on select sectors, like "the struggling energy and nonvehicle manufacturing industries," rather than the market as a whole.
Adding more staff is a crucial part of expanding the size and scope of any business. If you're a small business owner in Ohio in need of commercial lending to help fund your goals for expansion — whether it's purchasing new equipment and property, renovating existing properties or even refinancing debt — consult with Growth Capital Corp. today to discuss your loan options.