The U.S. private payrolls unexpectedly fell by 32,000 in November, signaling a sharper labor market slowdown than economists anticipated, according to new data from ADP. The decline stands in stark contrast to October’s revised 47,000-job gain and missed expectations for a 40,000 increase.
BREAKING: US ADP Private Payrolls unexpectedly fall by -32,000 jobs in November, while a gain of +10,000 jobs was expected.
— The Kobeissi Letter (@KobeissiLetter) December 3, 2025
The Fed will have no choice but to cut rates again.
Small businesses absorbed the biggest hit, shedding 120,000 jobs — the steepest drop since March 2023. Mid-sized firms also struggled, while larger companies added 90,000 positions.
Professional and business services led losses with 26,000 cuts, followed by information services, manufacturing, and construction. Education, health services, and hospitality posted modest gains.
🚨 HIGH IMPACT
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US: ADP National Employment Report: Private Sector Employment Shed 32,000 Jobs in November; Annual Pay was Up 4.4%#forex https://t.co/Mk52PbJvlp
Wage growth cooled again, with pay for job-stayers rising 4.4% year over year. ADP chief economist Nela Richardson said employers are facing cautious consumers and a volatile economic backdrop.
The report lands just days before the Federal Reserve’s December 9–10 meeting, where markets expect another rate cut despite internal disagreements and persistent inflation concerns.
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TIPP Staff
TIPP Staff
