U.S. non-manufacturing sector growth continued to expand but at a slower pace in November compared with the previous month, a widely recognized U.S. private survey revealed Wednesday.

The Non-Manufacturing Index (NMI), which measures activity in the U.S. service sector, declined to 53.9 percent last month from 55.4 percent in October, the Institute for Supply Management (ISM) said in its monthly survey.

The NMI survey covers all sectors outside of manufacturing. A reading above 50 percent indicates expansion of the service sector.

The index showed that new orders, a signal of future business, decreased by 0.4 percentage point to 56.4 percent in November, while the survey's employment component dropped by 3.7 percentage points to 52.5 percent, said the ISM.

Eleven industries reported growth last month, including information and retail trade, and six other industries such as mining and construction reported contraction.

The NMI index is closely watched because the service sector absorbs about 90 percent the U.S. workforce and is a key indicator for the overall health of the economic recovery.