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December Sees Massive Gain in Private Sector Employment
Published on Jan 7, 2011
Read 'December Sees Massive Gain in Private Sector Employment' at 'Time to Start Up,' the small business blog by BizFilings.
Private sector employment skyrocketed in December for the eleventh consecutive month, suggesting to many analysts that the economy is beginning to make a substantial recovery in 2011.
The ADP National Employment Report revealed a gain of 297,000 jobs last month, of which 261,000 came from small or medium-sized business (those with fewer than 500 employees). The contribution from SME's makes sense considering 270,000 of the jobs were in the service sector.
"Employment growth has accelerated over the last few months," said Gary C. Butler, president and CEO of ADP. "The recent decisions by our nation's policymakers to extend and enact tax cuts for the short-term are positive, but more can be done. The new Congress has a great opportunity to support ongoing job creation by enacting tax policies and creating business incentives that together will encourage businesses to invest and expand."
December's employment report has also been noted for its massive increase in comparison with other recent months. September registered a gain of 29,000 jobs, while October added 79,000 and November saw 92,000.
In all, the report provides good news for entrepreneurs forming a company, as employment gains will likely also help spur trends in private investment and even consumer confidence.