174,000 jobs created in the private sector
After the recent wave of layoffs, US companies created a surprising number of jobs at the beginning of the year. The bottom line was that 174,000 jobs were created in the private sector in January, according to the survey by the personnel service provider ADP published on Wednesday. Experts had only expected an increase of 49,000. In December, the companies had turned the red pencil on the staff and cut 78,000 jobs.
The ailing job market is one of the greatest challenges for the new US President Joe Biden. “The increase in employment can recover significantly at the beginning of the year. This is to be viewed positively, but compared to before the crisis there are still millions of jobs missing,” explained economist Patrick Boldt from Helaba. Experts expect the number of jobs outside of agriculture to rise by 50,000 for the government's January labor market report due on Friday.
