ADP employment growth stronger than expected, weak small business employment growth causing concerns.

ADP reported on Wednesday that job growth in the US private sector in October was slightly stronger than expected. The trade, transportation, and utilities sector added 47,000 jobs, offsetting job losses in several other industries. While artificial intelligence has driven prosperity in the technology sector, the information services industry lost 17,000 jobs. Other industries experiencing job losses include professional and business services, other services, and manufacturing. Despite President Trump's efforts to bring manufacturing jobs back to the US through tariffs, the manufacturing sector still faces challenges. All new jobs came from companies with at least 250 employees, adding 76,000 jobs in this category, while small businesses lost 34,000 jobs. Nela Richardson, chief economist at ADP, expressed concern that job growth in small businesses, which account for three-quarters of all jobs, is weak, contributing to the overall sluggish economic recovery. Despite limited job growth, wages are still rising. The annual salary for retained employees increased by 4.5% year-on-year, consistent with September; while for job-switching employees, salaries rose by 6.7%, slightly higher than the previous month.