ADP payroll processing company reported Wednesday that March was a strong month for companies, with a steady pace of job creation. This indicates that there are no signs of tightening labor markets, and hiring remains robust.

According to ADP, private payrolls increased by 455,000 during the month. This was in line with Dow Jones’ estimate of 450,000 but it was lower than August 2021. This resulted in ADP’s 1.45 million first quarter jobs, slightly lower than the revised 486,000 February total.

Two days earlier, nonfarm payrolls will be released. The Bureau of Labor Statistics is expected to report jobs growth of 490,000. This estimate comes from the Dow Jones consensus. Both the ADP numbers and the BLS numbers are subject to variation, just as in February when ADP’s payroll count was approximately 200,000 less than the official government total.

ADP reported that March’s hiring patterns were evenly distributed across sectors. Leisure and hospitality added 161,000, according to their report. The 72,000 jobs were contributed by education and health, while 61,000 new positions were added for professional and business service.

Manufacturing dominated the goods-producing sector with 54,000, while construction added 15,000

One-third of the 377,000 new jobs were provided by service providers, while 79,000 came from goods producers.

The job growth was also fairly distributed by company size. Large companies added 177,000 and 50-499. The decline of small businesses in February was reversed by a rise in March, when they saw an increase in employment. They added 99,000 in March.

Nela Richardson chief economist at ADP said that “businesses are looking for employees, particularly among those service providers with the most to cover due to the pandemic loss.” However, the tight labor market remains a barrier to continued growth within consumer-facing sectors.

It was true, indeed. a record 5 million more jobsAccording to Wednesday’s BLS data, there are more workers than needed. Workers are continuing to quit their jobs for better opportunities. 4.35million more took part in the Great Resignation in March.

The Friday report will show that the unemployment rate has contracted to 3.7%, according to analysts.

Federal Reserve officials closely monitor the job numbers as they battle inflation at its 40-year peak. To combat rising costs, the Fed will likely raise interest rates quickly this year in response to job growth.

Correction: In March, 161,000 new jobs were created in leisure and hospitality. The figure was incorrectly reported in an earlier version.