A large number of researches indicate that the influx of foreign direct investment （FDI） will have a profound impact on the host nation’s job market by means of direct and indirect employment effect，but the feature of its total employment effect is different among different countries and regions. This paper makes an empirical research on employment effect of FDI in service industry of Guangzhou. The result shows that services FDI generates negative direct employment effect and positive indirect employment effect，the comprehensive effect is positive，which indicates that services FDI has promoted the increase in the number of services employment in Guangzhou. Meanwhile，there is a two-way Granger cause-effect relationship between services FDI and the number of services employment. The result of the generalized impulse response function reveals that there exists a persistent mutual promotion between services FDI and the number of services employment. Therefore，the conclusion is that services FDI is of great significance in promoting the employment in Guangzhou. Accordingly，this paper puts forward relevant policy.