Business

Survey: Hurricane Sandy slowed hiring in November to 118K

WASHINGTON — A private survey shows that US businesses added fewer workers in ­November, mostly because Hurricane Sandy shut down factories, retail stores, and ­other companies.

Payroll processor ADP said Wednesday that employers added 118,000 jobs last month. That’s below October’s total of 157,000, which was revised lower.

Advertisement

Mark Zandi, chief economist at Moody’s Analytics, said the storm cut payrolls by an estimated 86,000 jobs. Excluding the effects of the storm, ‘‘the job market turned in a good performance during the month.’’

ADP and Moody’s Analytics are calculating job gains with a different methodology than the survey previously used. The new method covers more businesses.

Get Talking Points in your inbox:
An afternoon recap of the day’s most important business news, delivered weekdays.
Thank you for signing up! Sign up for more newsletters here

The report only looks at hiring in the private sector and excludes government hiring. The Labor Department will offer a more complete picture of the November job market Friday.

The storm is also expected to affect that Labor Department report and many economists expect it will show even fewer jobs added. Some are predicting as few as 50,000 jobs added in November. The unemployment rate is expected to rise to 8 percent from 7.9 percent.

A key reason the reports are expected to diverge: ADP counts someone as employed if they remain on a company’s payroll, even if that business is closed and employees aren’t paid. The government counts them as employed only if they are paid.

Advertisement

Even without the storm’s impact, hiring has been only modest this year. Employers have added an average of 157,000 jobs per month since January, barely enough to lower the unemployment rate.

Loading comments...
Real journalists. Real journalism. Subscribe to The Boston Globe today.