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US president Donald Trump sacks jobs data chief after dismal employment report

US president Donald Trump sacks jobs data chief after dismal employment report

Yahoo3 days ago
US President Donald Trump on Friday fired the head of the government agency in charge of monthly jobs data after a report showed hiring slowed in July and was much weaker in May and June than previously reported.
In a post on his social media platform, Trump alleged that the figures by the Bureau of Labor Statistics were manipulated for political reasons, saying Erika McEntarfer, the director of the agency who was appointed by former President Joe Biden, should be fired.
'I have directed my Team to fire this Biden Political Appointee, IMMEDIATELY,' Trump said on Truth Social. 'She will be replaced with someone much more competent and qualified.'
The US leader later posted: 'In my opinion, today's Jobs Numbers were RIGGED in order to make the Republicans, and ME, look bad.'
While Trump provided no evidence, the charge that the data was faked was seen as an explosive reaction that threatens to undercut the political legitimacy of the US government's economic data.
For decades, Wall Street investors and economists have mostly believed the data to be free from political bias.
McEntarfer's removal condemned
After Trump's initial post, Labor Secretary Lori Chavez-DeRemer said on X that McEntarfer was no longer leading the bureau and that William Wiatrowski, the deputy commissioner, would serve as the acting director.
'I support the President's decision to replace Biden's Commissioner and ensure the American People can trust the important and influential data coming from BLS,' Chavez-DeRemer said.
But condemnation soon followed. A group that included two former BLS commissioners, including William Beach, who was appointed by Trump to the position, berated McEntarfer's firing. They particularly objected to the charge that the data was altered for political reasons.
'This rationale for firing Dr. McEntarfer is without merit and undermines the credibility of federal economic statistics that are a cornerstone of intelligent economic decision-making by businesses, families, and policymakers,' the statement from the group, the Friends of BLS, said.
Beach and former President Barack Obama's BLS commissioner, Erica Groshen, signed the letter.
'Firing the Commissioner ... when the BLS revises jobs numbers down (as it routinely does) threatens to destroy trust in core American institutions and all government statistics,' Arin Dube, an economist at the University of Massachusetts-Amherst, said on X. 'I can't stress how damaging this is.'
Report shows 73,000 jobs were added in July
Friday's jobs report showed that just 73,000 jobs were added last month and that 258,000 fewer jobs were created in May and June than previously estimated.
The report indicated that the US economy has weakened significantly under Trump, following a slowdown in economic growth in the first half of the year and a spike in inflation in June, which appeared to be a result of the pressure on prices brought on by the president's tariffs.
'No one can be that wrong? We need accurate job numbers,' Trump wrote. 'She will be replaced with someone much more competent and qualified. Important numbers like this must be fair and accurate; they can't be manipulated for political purposes.'
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Trump has not always been so suspicious of the monthly jobs report and responded enthusiastically after the initial May figures came out on 6 June, when it was initially reported that the economy added 139,000 jobs.
'GREAT JOB NUMBERS, STOCK MARKET UP BIG!' Trump posted at the time.
That estimate was later revised down to 125,000 jobs, and then further revised to just 19,000.
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