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US Labour Market Adds 63,000 Private Sector Jobs in February: ADP Report

Written by: Team Angel OneUpdated on: 5 Mar 2026, 4:45 pm IST
Private sector payrolls in the US rose by 63,000 in February, driven largely by gains in education, health services and construction sectors.
US Labour Market Adds 63,000 Private Sector Jobs in February: ADP Report
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Private-sector employers in the United States added 63,000 jobs in February, according to the ADP National Employment Report released on March 4, 2026.  

The data is based on anonymised payroll information covering more than 26 million workers across private companies in the country.  

Private Hiring Picks Up After Weak January 

The February increase followed a downward revision to January’s numbers. Job growth for the previous month was revised to 11,000 from the earlier estimate of 22,000.  

The latest reading marks the strongest monthly increase in private payrolls since July 2025.  

Job Gains Led by Service Sectors 

Employment growth during the month was largely driven by service-related industries. Education and health services added 58,000 jobs, accounting for most of the increase recorded in February. 

Information services added 11,000 positions, while financial activities reported a smaller rise of around 2,000 jobs. In total, service-providing industries contributed 47,000 of the overall increase in employment during the month.  

Construction Adds Jobs While Manufacturing Declines 

Among goods-producing industries, construction recorded the largest increase with 19,000 jobs added in February. Natural resources and mining reported a gain of about 2,000 jobs during the same period.  

Manufacturing employment declined by 5,000 positions. Professional and business services also recorded a fall, with payrolls dropping by 30,000 jobs during the month. Trade, transportation and utilities employment decreased by about 1,000 positions.  

Small Firms Drive Employment Growth 

Most of the job gains were recorded among smaller businesses. Companies with fewer than 50 employees added approximately 60,000 jobs in February. 

Firms with between 50 and 499 employees reported a net decline of around 7,000 positions. Large companies employing more than 500 workers added about 10,000 jobs during the month.  

Pay Growth Remains Unchanged 

Annual pay growth for workers who remained in their existing jobs was 4.5% in February, unchanged from January levels. Workers who changed employers saw wage growth of 6.3% on an annual basis.  

The difference between wage growth for job switchers and job stayers narrowed during the month compared with earlier periods. 

Read MoreJack Dorsey Announces 4,000 Layoffs at Block Amid AI Integration! 

Conclusion 

The February ADP report shows a modest increase in private employment after a weak start to the year. Hiring activity was concentrated in a few sectors, while several industries reported declines in payrolls. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.   
 
Investments in the securities market are subject to market risks, read all the related documents carefully before investing. 

Published on: Mar 5, 2026, 11:15 AM IST

Team Angel One

Team Angel One is a group of experienced financial writers that deliver insightful articles on the stock market, IPO, economy, personal finance, commodities and related categories.

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