General Business

Private Sector Employment Decreased by 123K Jobs in December

Private sector employment decreased by 123,000 jobs from November to December according to the December ADP National Employment Report. Broadly distributed to the public each month, free of charge, the ADP National Employment Report is produced by the ADP Research Institute in collaboration with Moody’s Analytics. The report, which is derived from ADP’s actual payroll data, measures the change in total nonfarm private employment each month on a seasonally-adjusted basis.

December 2020 Report Highlights*

By Company Size

– Small businesses: -13,000

  • 1-19 employees -16,000
  • 20-49 employees 3,000

– Medium businesses: 37,000

  • 50-499 employees 37,000

– Large businesses: -147,000

  • 500-999 employees 22,000
  • 1,000+ employees -169,000

By Sector

– Goods-producing: -18,000

  • Natural resources/mining 0
  • Construction 3,000
  • Manufacturing -21,000

– Service-providing: -105,000

  • Trade/transportation/utilities -50,000
  • Information -6,000
  • Financial activities 2,000
  • Professional/business services 12,000
    -Professional/technical services 5,000
    -Management of companies/enterprises 0
    -Administrative/support services 7,000
  • Education/health services 8,000
    -Health care/social assistance 9,000
    -Education -1,000
  • Leisure/hospitality -58,000
  • Other services -12,000

* Sum of components may not equal total, due to rounding.

– Franchise Employment**

  • Franchise jobs -5,300

**Complete details on franchise employment can be found here.

“As the impact of the pandemic on the labor market intensifies, December posted the first decline since April 2020,” said Ahu Yildirmaz, vice president and co-head of the ADP Research Institute. “The job losses were primarily concentrated in retail and leisure and hospitality.”

The matched sample used to develop the ADP National Employment Report was derived from ADP payroll data, which represents 460,000 U.S. clients employing nearly 26 million workers in the U.S. The November total of jobs added was revised from 307,000 to 304,000.

To obtain additional information about the ADP National Employment Report, including additional charts, supporting data and the schedule of future release dates, or to subscribe to the monthly email alerts and RSS feeds, please visit

The January 2021 ADP National Employment Report will be released at 8:15 a.m. ET on Feb. 3, 2021.

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