---
source: Automatic Data Processing, Inc. (ADP Research Institute)
url: https://adpemploymentreport.com/
document_type: pdf
date_retrieved: 2026-03-17
period: February 2026
release_date: 2026-03-04
parent_publication: ADP National Employment Report
indicators_covered: [Private Sector Employment Change, Annual Pay Growth, Pay by Industry, Pay by Establishment Size]
---

# ADP National Employment Report: February 2026

**Private Sector Employment Increased by 63,000 Jobs in February; Annual Pay was Up 4.5%**

**Release Date:** March 4, 2026  
**Location:** Roseland, N.J.

---

## Executive Summary

Private sector employment increased by 63,000 jobs in February and pay was up 4.5 percent year-over-year according to the February ADP National Employment Report® produced by ADP Research in collaboration with the Stanford Digital Economy Lab.

The ADP National Employment Report is an independent measure of the labor market based on the anonymized weekly payroll data of more than 26 million private-sector employees in the United States. ADP's Pay Insights captures over 15 million individual pay change observations each month. Together, the jobs report and pay insights use ADP's fine-grained data to provide a representative and high-frequency picture of the private-sector labor market.

### Chief Economist Commentary

"We've seen an increase in hiring and pay gains remain solid, especially for job-stayers," said Dr. Nela Richardson, chief economist, ADP. "But with hiring concentrated in only a few sectors, our data shows no widespread pay benefit from changing jobs. In fact, the pay premium for switching employers hit a record low in February."

---

## Jobs Report

### Private Employment Growth

**Change in U.S. Private Employment: 63,000**

Hiring jumped in February, delivering the best showing for job gains since November 2025. Construction and education and health services led the growth.

### Change by Industry

| Sector | Change |
|--------|--------|
| **Goods-Producing** | **16,000** |
| Natural Resources/Mining | 2,000 |
| Construction | 19,000 |
| Manufacturing | -5,000 |
| **Service-Providing** | **47,000** |
| Trade/Transportation/Utilities | -1,000 |
| Information | 11,000 |
| Financial Activities | 2,000 |
| Professional/Business Services | -30,000 |
| Education/Health Services | 58,000 |
| Leisure/Hospitality | 1,000 |
| Other Services | 6,000 |

### Change by U.S. Regions

| Region | Change |
|--------|--------|
| **Northeast** | **11,000** |
| New England | 9,000 |
| Mid-Atlantic | 2,000 |
| **Midwest** | **-4,000** |
| East North Central | -8,000 |
| West North Central | 4,000 |
| **South** | **37,000** |
| South Atlantic | 5,000 |
| East South Central | 6,000 |
| West South Central | 26,000 |
| **West** | **19,000** |
| Mountain | 3,000 |
| Pacific | 16,000 |

### Change by Establishment Size

| Establishment Size | Change |
|--------------------|--------|
| **Small (1-49 employees)** | **60,000** |
| 1-19 employees | 58,000 |
| 20-49 employees | 2,000 |
| **Medium (50-499 employees)** | **-7,000** |
| 50-249 employees | -3,000 |
| 250-499 employees | -4,000 |
| **Large (500+ employees)** | **10,000** |
| 500+ employees | 10,000 |

---

## Pay Insights

### Overall Pay Growth

**Pay for job-stayers rose 4.5 percent in February**

Pay growth for job-stayers was unchanged in February at 4.5 percent year-over-year. For job-changers, annualized pay growth slowed to 6.3 percent.

| Category | Median Annual Pay Growth |
|----------|--------------------------|
| Job-Stayers | 4.5% |
| Job-Changers | 6.3% |

### Median Change in Annual Pay for Job-Stayers by Industry

| Industry | Growth Rate |
|----------|-------------|
| Natural Resources/Mining | 4.5% |
| Construction | 4.7% |
| Manufacturing | 4.9% |
| Trade/Transportation/Utilities | 4.4% |
| Information | 4.0% |
| Financial Activities | 5.2% |
| Professional/Business Services | 4.3% |
| Education/Health Services | 4.3% |
| Leisure/Hospitality | 4.6% |
| Other Services | 4.1% |

### Median Change in Annual Pay for Job-Stayers by Firm Size

| Firm Size | Growth Rate |
|-----------|-------------|
| **Small (1-49 employees)** | |
| 1-19 employees | 2.6% |
| 20-49 employees | 4.1% |
| **Medium (50-499 employees)** | |
| 50-249 employees | 4.7% |
| 250-499 employees | 4.8% |
| **Large (500+ employees)** | |
| 500+ employees | 4.9% |

**Note:** Additional Pay Insights by U.S. State, Gender, and Age for Job-Stayers available at adpemploymentreport.com

---

## Data Revisions

The January total number of jobs added was revised from 22,000 to 11,000.

---

## Key Observations

1. **Strong February Hiring:** The 63,000 job gain represents the largest monthly growth figure since November 2025, signaling improved labor market momentum.

2. **Sector Concentration:** Hiring remains concentrated in specific sectors, particularly education and health services (+58,000) and construction (+19,000), offset by weakness in professional/business services (-30,000).

3. **Small Business Strength:** Small establishments (1-49 employees) added 60,000 jobs, while medium and large establishments showed weakness, suggesting bifurcated labor market dynamics.

4. **Regional Variation:** The South region dominated job growth (+37,000), with the West also posting solid gains (+19,000), while the Midwest contracted (-4,000).

5. **Pay Growth Stagnation for Job-Changers:** Job-changers saw pay growth decelerate to 6.3% annually, down from recent months, indicating declining premium for job transitions—described by ADP as hitting a "record low."

6. **Firm Size Pay Premium:** Pay growth shows a clear gradient by firm size, with large firms (500+ employees) providing 4.9% annual pay growth versus 2.6% at the smallest firms (1-19 employees).

---

## About the Report

The ADP National Employment Report is an independent measure of the labor market produced by ADP Research in collaboration with the Stanford Digital Economy Lab. It is based on anonymized weekly payroll data from more than 26 million private-sector employees, providing a representative and high-frequency snapshot of U.S. private-sector labor market conditions.

For additional information, methodology, historical data, and interactive charts, visit: https://adpemploymentreport.com/

**Next Release:** The March 2026 ADP National Employment Report will be released on April 1, 2026 at 8:15 a.m. ET.

---

## About ADP Research

The mission of ADP Research is to make the future of work more productive through data-driven discovery. Companies, workers, and policy makers rely on ADP's finely tuned data and unique perspective to make informed decisions impacting workplaces worldwide.

For additional information: https://www.adpresearch.com

## About ADP, Inc.

ADP has been shaping the world of work with innovation and expertise for more than 75 years. As a global leader in HR and payroll solutions, ADP works to solve business challenges for clients across 140+ countries serving more than 1.1 million clients. ADP operates across HR, Talent, Time Management, Benefits, Compliance, and Payroll sectors.

Learn more at ADP.com

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**Media Contact:**  
Joanna DiNizio  
ADP, Inc.  
(973) 369-8167  
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