US / Private-sector jobs growth slows in April according to ADP

Private-sector employment growth slowed down in April, hitting the lowest result in seven months as tax hikes and government spending cuts took a toll, Automatic Data Processing Inc. reported Wednesday.

Private employers added 119,000 jobs in April, the weakest gain since September, compared with 131,000 in March, according to ADP’s monthly report.

“Job growth appears to be slowing in response to very significant fiscal headwinds,” said Mark Zandi, chief economist of Moody’s Analytics, which produces the report for ADP. “Tax increases and government spending cuts are beginning to hit the job market.”

A payroll tax cut expired at the end of 2012, and income tax rates were raised for the wealthy, while in March, the so-called sequester of automatic spending cuts kicked in.

Chosen excerpts by Job Market Monitor

via Private-sector jobs growth slows in April: ADP – MarketWatch.