Private sector employment increased by 175,000 jobs from December to January, according to new report released Wednesday from the payroll service provider ADP.
Economic Watch: Private Jobs Grow in January, Non-Manufacturing Activity Up
Private sector employment increased by 175,000 jobs from December to January, according to new report released Wednesday from the payroll service provider ADP.
Goods-producing employment rose by 16,000 jobs in January, a decrease from a downwardly-revised figure of 50,000 in December. Nearly all of the growth came from the construction industry, which added 25,000 jobs over the month, following increases of 30,000 and 32,000 in the prior two months. Manufacturing lost jobs in January. The decline of 12,000 followed a revised gain of 16,000 in the prior month and was the first drop in industry payrolls since July 2013.
Service-providing industries added 160,000 jobs in January, down from an upwardly-revised December figure of 177,000. The report indicates that professional/ business services contributed the most to growth in service-providing industries, adding 49,000 jobs. This was well below the average gain of the prior two months of 65,000.
Mark Zandi, chief economist of Moody’s Analytics, said, "Cold and stormy winter weather continued to weigh on the job numbers. Underlying job growth, abstracting from the weather, remains sturdy. Gains are broad based across industries and company sizes, the biggest exception being manufacturing, which shed jobs, but that is not expected to continue.”
Payroll growth for businesses with 49 or fewer employees slowed in January, adding 75,000 jobs. This is the slowest pace of small business job growth since August 2013. Employment levels among medium-sized companies with 50-499 employees rose by 66,000 and employment at large companies – those with 500 or more employees – increased by 34,000. While this represented acceleration in job growth for mid-size firms, growth at large firms was nearly half of what it was in December.
A separate report on economic activity in the non-manufacturing sector, also released Wednesday, shows it grew in January for the 48th consecutive month, according to the nation’s purchasing and supplies executives.
The Institute for Supply Management says its index registered 54% in January, 1 percentage point higher than the seasonally adjusted reading of 53% in December.
A reading above 50% shows expansion.
Eleven non-manufacturing industries reported growth in January. The majority of respondents' comments reflect an improvement in business conditions, according to ISM, with some indicating that weather conditions have impacted their business.
“Service production remains positive, maintaining the trend pace of activity as we head into 2014. But momentum is the name of the game, something that seems to be lacking in nearly all aspects of the economy, particularly when it comes to consumer spending,” said Lindsey Piegza, chief economist at the investment firm Sterne Agee. “Recall, despite quarter to quarter volatility, consumers continue to spend at a stagnant 2% pace. More of the same, while positive, translates into modest GDP growth or simply the same 2% to 2.5% range of the last several years.”
More Fleet Management

ATA’s Spear Warns Fuel Prices, Trade Policy, and Global Conflict Could Stall Trucking Recovery
Speaking at the TMC Annual Meeting in Nashville, ATA President Chris Spear said trucking faces mounting pressure from rising fuel prices, geopolitical instability, and uncertainty around trade policy.
Read More →
New Entrants, Chameleon Carriers, and Safety: Is It Too Easy to Start a Trucking Company?
More than 100,000 new trucking companies enter the industry each year, but regulators manage to audit only a fraction of them. That churn creates opportunities for inexperienced startups — and for “chameleon carriers” that shut down after safety violations and reappear under new identities. Read more from Deborah Lockridge in this commentary.
Read More →
Fleet Managers Invited to Apply for Exclusive HDT Exchange Event
HDTX is an intimate event that connects heavy-duty trucking fleet managers with industry suppliers through small-group discussions, educational sessions, and structured one-on-one meetings.
Read More →
DAT Launches iPhone Widget to Help Owner-Operators Find Loads Faster
New DAT One feature shows top-paying loads directly on an iPhone’s home screen, helping carriers react faster to spot-market opportunities.
Read More →
Optimal Dynamics Launches AI System to Help Carriers Choose Better Freight
Optimal Dynamics says its new Scale platform uses AI agents and optimization to help carriers find and secure freight that improves network balance and profitability.
Read More →
DAT: Flatbed Demand Climbs as Van and Reefer Rates Soften
DAT Freight & Analytics data shows tightening flatbed capacity, easing produce markets, and softening van and reefer rates.
Read More →
Run on Less “Messy Middle” Data Shows Multiple Paths Forward for Truck Powertrains [Watch]
NACFE's Run on Less - Messy Middle project demonstrates the power of data in helping to guide the future of alternative fuels and powertrains for heavy-duty trucks.
Read More →
Federal Court Lets NYC Congestion Pricing Continue
A federal court ruling allows New York City’s congestion pricing program to continue, leaving truck tolls in place for fleets delivering into Manhattan.
Read More →
Fontaine Modification Launches Real-Time Truck Modification Tracking Portal
Fontaine Modification has introduced a new customer portal designed to give fleets real-time visibility into the truck modification process, addressing one of the most common questions fleet managers face: “Where’s my truck?”
Read More →
FTR: Trucking Conditions Index Climbs to Highest Level Since 2022
Strong freight rates, rising volumes and tighter capacity push trucking conditions higher, though diesel prices could temper gains in the near term, FTR cautions.
Read More →
