Job growth slows and layoffs rise to 16-month high, reports say

Looking for work? Might want to try smaller businesses, which are doing the heavy lifting when it comes to job growth, according to a new report from payroll processor ADP.

Companies with fewer than 50 employees added 58,000 jobs nationwide last month, while businesses with 50 to 500 workers hired 47,000 people, according to the study. Only 9,000 new positions were at large firms with more than 500 staffers.

Small businesses have been amping up hiring for nearly two years, according to ADP.

Though 114,000 jobs were created, July’s numbers lag behind the 145,000 hires made in June. An employment report coming Friday from the Labor Department, which is expected to show even more modest figures, could throw the slowdown into sharper relief.

The service sector, including education and healthcare, grew by 121,000 jobs, according to ADP. But employment in the construction and manufacturing industries slipped.

And the stink of a sour economy loomed over layoff numbers that were also announced Wednesday. Job cuts surged to a 16-month high in July as 66,414 employees found themselves out of work, according to consulting firm Challenger, Gray & Christmas Inc.