US private payrolls surge by 497,000 in June, surpassing estimates

By Ovunc Kutlu

ISTANBUL (AA) - US private payrolls surged by 497,000 in June, strongly surpassing estimates, according to a report released Thursday by the ADP Research Institute in collaboration with Stanford Digital Economy Lab.

The market expectation was an increase of 228,000 jobs. The figure in May was slightly revised down from a gain of 278,000 to 267,000.

"Consumer-facing service industries had a strong June, aligning to push job creation higher than expected," Nela Richardson, the ADP chief economist, said in the report. "But wage growth continues to ebb in these same industries, and hiring likely is cresting after a late-cycle surge."

Among businesses, small and mid-sized enterprises added 299,000 and 183,000 jobs, respectively, while large businesses experienced a decline of approximately 8,000.

The leisure and hospitality sector posted the highest gain, adding 232,000 jobs, whereas the manufacturing sector suffered the largest decline, losing 42,000 jobs.