Could demand for labor in the U.S. finally be cooling?
A report released Tuesday suggested a steep decline in hiring by businesses in August. Private payrolls expanded by 177,000 this month, down from 371,000 in the prior month, the monthly private sector jobs report by the SDP Research Institute said.
Economists had forecast around 200,000 workers would be added to private sector payrolls.
The ADP report no longer attempts to anticipate the government’s nonfarm payrolls estimate, which will be released Friday. Instead, the economists behind the report regard it as an independent source of data about the health of the U.S. labor market and the broader economy.
Despite the decline, jobs are still growing at a robust pace. Economists estimate that the U.S. needs to add fewer than 100,000 jobs to keep pace with the growth of the working age population.
“This month’s…
