Economic Buzz: US private sector job growth exceeds estimates in February

A report released by payroll processor ADP on Wednesday showed private sector employment in the U.S. increased by more than expected in the month of February.

ADP said private sector employment climbed by 63,000 jobs in February after rising by a downwardly revised 11,000 jobs in January.

Private sector employment saw the biggest increase since jumping by 104,000 jobs in July 2025, led by job growth in the construction and education and health services sectors, ADP said.

The report said the education and health services sector added 58,000 jobs, while employment in the construction sector rose by 19,000 jobs.

Meanwhile, ADP said employment in the professional and business services sector fell by 30,000 jobs and the manufacturing sector shed 5,000 jobs.

ADP said pay growth for job-stayers was unchanged at 4.5 percent year-over-year in February, while annualized pay growth for job-changers slowed to 6.3 percent.

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