October Private-Sector Hiring Rises More Than Estimated, ADP Data Show

03:15 PM EST, 11/04/2026 (MT Newswires) -- US private sector employment growth topped market expectations for October, while pay increases were steady, ADP (ADP) data showed Wednesday. Private jobs rose by 86,000 last month, indicating "solid" hiring growth for a second month, the payrolls processing firm said. The consensus was for a 67,000 increase in a Bloomberg-compiled survey. September's total was revised to show an increase of 86,000 jobs from the originally reported gain of 90,000. "Employers of all sizes were hiring last month, and our data suggests that job-changers were lured by a combination of bonuses, overtime, and more hours in addition to higher base pay," ADP Chief Economist Nela Richardson said. "Taken together, earnings growth for these workers hit its fastest pace since March 2024." The services sector added 82,000 jobs in October, led by a 39,000 increase in trade, transportation and utilities. The goods-producing sector saw employment increase by 4,000 jobs. Jobs in professional and business services declined by 27,000, the third straight monthly drop, ADP data showed. Gross pay growth was up 4.7% year over year last month, with a 4.4% increase for job stayers and a 7.6% gain for job changers. Gross pay measures total compensation generated by labor market activity, a data set that can be used to assess income growth and consumer spending power, according to ADP. Official data are likely to show Friday the US economy added 63,000 nonfarm jobs in October, following a gain of 29,000 reported for the previous month, according to a Bloomberg poll. On Tuesday, government data showed US job openings increased in September as all key metrics saw improvements, with Oxford Economics calling labor market conditions as "solid." Last week, St. Louis Fed President Alberto Musalem said the economy remains resilient, while the labor market is "balanced around full employment." Markets are pricing in a roughly 82% probability that the Federal Reserve will increase its benchmark lending rate by 25 basis points next month, according to the CME FedWatch tool, as the central bank looks to combat inflation. The remaining odds point to a second consecutive pause. Price: 304.23, Change: +8.22, Percent Change: +2.78