US private-sector employment increased by 86,000 jobs in October 2026, exceeding market expectations of 69,000 and matching September’s downwardly revised gain, according to data from Automatic Data Processing (ADP).
The figures marked a second consecutive month of steady hiring, with businesses of all sizes reporting employment gains.
Mid-sized companies led job creation, adding 33,000 positions, followed by small businesses with 28,000 and large employers with approximately 24,000.
Services Sector Drives Employment Growth
Hiring remained concentrated in service-related industries, particularly trade, transportation and utilities, which added 39,000 jobs.
Education and health services contributed another 28,000 positions, while leisure and hospitality employment increased by 19,000.
Financial activities and construction also recorded gains during the month.
However, employment declined in several industries. Professional and business services lost 27,000 jobs, marking a third consecutive monthly decrease.
Natural resources and mining shed 8,000 positions, while information services employment declined by 2,000.
The figures indicate that employment growth remained uneven across industries despite the overall increase in private-sector payrolls.
Wage Growth Accelerates for Job Changers
ADP Chief Economist Nela Richardson said wage growth for workers changing employers reached its fastest pace since March 2024.
The acceleration reflected higher base salaries, bonuses, overtime compensation and longer working hours.
The development suggests that compensation pressures remain present in parts of the labor market, even as hiring varies across industries.
October’s ADP report showed continued private-sector employment growth, supported primarily by services industries. The figures provide an additional measure of labor market conditions ahead of the government’s monthly employment report.
