Private employers in the United States shed 32,000 jobs in November — according to the latest monthly report from payroll-processing firm ADP — marking a surprising downturn that contradicts expectations of job gains.

The data comes as President Donald Trump points to a sharp rebound in gross domestic product as evidence of his administration’s economic success, raising questions about whether headline growth is translating into broad-based job creation.

The job losses were concentrated primarily among small businesses, with sectors including professional services, information and manufacturing hit hardest.

Despite this setback in private payrolls, weekly filings for unemployment benefits remain unusually low — a recurring pattern described by economists as a “no-hire, no-fire” labour market, in which hiring has stalled even as mass layoffs remain scarce.

The contrast with other economic indicators is stark.

In the second quarter of 2025, U.S. GDP grew at a 3.0 percent annualized rate — a rebound from the contraction earlier in the year — prompting the White House to hail the result as “explosive growth.” Consumer spending, trade rebalancing and stronger service sector output helped drive the increase, offering a measure of underlying resilience despite labour-market softness.

But the weak November payroll report adds to mounting evidence that the employment recovery is losing steam.

Even before the ADP release, a sweeping revision by the national statistics agency re-cast expectations: preliminary figures released in September showed that the U.S. economy created 911,000 fewer jobs between April 2024 and March 2025 than previously estimated — the largest downward adjustment on record.

The revision cut deeply into previously reported gains in hospitality, retail and professional services.

For the Trump administration, the mixed signals complicate the narrative of an all-out “economic comeback.” Advocates of the current policies point to the GDP rebound, lower inflation and resilient consumer spending as proof of success.

But many economists warn that without consistent job growth, rising output may not translate into improved living standards broadly, especially for small-business workers or those outside major urban centres.

Looking ahead, all eyes will be on the official monthly jobs report due next week.

Whether it confirms ADP’s downward trend — or shows a rebound — could influence not only Fed interest-rate expectations, but also how voters, markets and policymakers interpret the administration’s economic stewardship heading into 2026.