- Private payrolls grew by 195,000 in August vs. the 140,000 estimate from economists surveyed by Dow Jones.
- The jump comes amid heightened fears that the U.S. economy could slip into recession over the next 12 months.
- Fully 100,000 of the new jobs came in the education and health services fields.
Company payrolls surged by 195,000 in August, well above Wall Street estimates and at a time when fears have been growing about a looming recession, according to a report Thursday from ADP and Moody’s Analytics.
Economists surveyed by Dow Jones had been looking for a gain of just 140,000 following July’s 142,000, which was reduced downward by 14,000 from the original count. August’s growth was the best showing since the 255,000 added in April.
The numbers come amid speculation that the decade-long economic expansion is coming to an end. The New York Federal Reserve puts the chance of a recession at 39% in the next 12 months, the highest level since the Great Recession that ended in mid-2009.
“Businesses are holding firm on their payrolls despite the slowing economy,” Mark Zandi, chief economist at Moody’s, said in a statement. “Hiring has moderated, but layoffs remain low. As long as this continues recession will remain at bay.”
