Private employers added just 167,000 jobs in July, indicating a coronavirus resurgence and fresh round of business closures is stalling the labor market's gradual recovery from the pandemic, according to the ADP National Employment Report released Wednesday.

It was well below the 1.5 million forecast by Refinitiv economists and marked a sharp drop from the upwardly revised 4.314 million jobs added in June.

“The labor market recovery slowed in the month of July,” said Ahu Yildirmaz, vice president and co-head of the ADP Research Institute. “We have seen the slowdown impact businesses across all sizes and sectors.”

July hiring was concentrated in professional and business services, which added 58,000 jobs last month. A significant portion of those, 49,000, were in the administrative and support services sector.

Education and health services accounted for 46,000 jobs, while leisure and hospitality -- one of the areas hit hardest by the shutdowns earlier this year -- added 38,000. Read more at FOX Business