US private hiring slows to 25,500 per week in fourth straight decline

US private employers added an average of 25,500 jobs per week in the four weeks ending May 30, the ADP National Employment Report Pulse showed Tuesday, marking a fourth straight weekly slowdown in hiring.

The preliminary estimates, produced by ADP Research in collaboration with the Stanford Digital Economy Lab, are based on seasonally adjusted high-frequency payroll data with a two-week lag. The figures are subject to revision as new data is incorporated.

The four-week moving average has declined steadily from 40,750 in the period ending May 2 to 35,750 on May 9, 30,500 on May 16, 29,000 on May 23, and now 25,500 — a 37% drop over the month. The current pace is also below the 33,000 reading recorded in late April and the 39,250 level from mid-April, suggesting the deceleration has broadened beyond a single-week anomaly.

The slowdown follows a period of relative stability in March, when the four-week average oscillated between 15,250 and 40,250 before settling at 26,000 by March 21. The March 14 reading of 15,250 was the lowest in the 12-week series, highlighting the uneven nature of the recovery in private-sector hiring.

The sustained deceleration in private employment could signal cooling in the broader US labor market ahead of the official May nonfarm payrolls report from the Bureau of Labor Statistics. A continued weakening in hiring would strengthen the case for the Federal Reserve to begin cutting interest rates later this year, though the timing of any easing will also depend on the trajectory of inflation and consumer spending data in the months ahead.

The next NER Pulse is scheduled for release June 23, 2026.

This article is for informational purposes only and does not constitute investment advice.