The total number of nonfarm private jobs increased by 200,000 in July, and this trend was once again led by companies categorized as either medium and small businesses. Meanwhile, only one industry actually saw employment decline in the first month of the year's second half.
Small businesses, those with between one and 49 employees, brought on 82,000 more workers last month, according to the latest ADP National Employment Report. Interestingly, this was largely led by companies with fewer than 20 employees, which accounted for 51,000 of those new jobs. The remaining 31,000 were brought on by small businesses with between 20 and 49 employees.
At the same time, medium businesses, with 50 to 499 workers (which means they would still be categorized as small businesses under federal rules), hired some 60,000 people, the report said. That slightly outstripped hiring efforts by large businesses, which accounted for 57,000 new jobs last month. Of that number, 50,000 were added by enterprises with more than 1,000 workers already, and the remaining 7,000 were added by companies with 500 to 999 employees.
When it comes to a breakdown by sector, it seems service providers were far more eager to take on new workers; of the 200,000 new jobs added nationwide, 177,000 came in this sector, the report said. Still, goods-producing businesses remaining 22,000 jobs or so throughout the month. The single largest gains recorded by any industry during that time came for professional or business services, which took on 49,000 new workers, though trade, transportation and utilities added a total of 45,000 as well. Construction (22,000) and financial activities (4,000) both posted gains as well. Only manufacturing saw job numbers dip, falling some 5,000.
Small business owners hoping to add more employees in the coming months as their standings improve may first want to look into ways in which they can give themselves added financial flexibility first. For instance, finding more affordable small business insurance policies for vital types of coverage, including those for workers' compensation or general liability insurance, might give companies a little more peace of mind when it comes to having the financial capability to hire workers and keep their costs as limited as possible. Often, these policies can be quite expensive, and thus looking for ways to reduce costs while still keeping up all necessary coverage could be vital going forward.
