Trump removes official overseeing jobs data after dismal employment report

Powys County Times

3 days ago

President Donald Trump has removed the head of the agency that produces monthly jobs figures for the US after a report showed hiring slowed in July and was much weaker in May and June than previously reported.
Mr Trump, in a post on his social media platform, alleged that the figures were manipulated for political reasons and said that Erika McEntarfer, the director of the Bureau of Labour Statistics, who was appointed by former president Joe Biden, should be fired.
He provided no evidence for the charge.
'I have directed my Team to fire this Biden Political Appointee, IMMEDIATELY,' Mr Trump said on Truth Social. 'She will be replaced with someone much more competent and qualified.'
Mr Trump later posted: 'In my opinion, today's Jobs Numbers were RIGGED in order to make the Republicans, and ME, look bad.'
The charge that the data was faked threatens to undercut the political legitimacy of the US government's economic data, which has long been seen as the 'gold standard' of economic measurement globally.
Economists and Wall Street investors have long accepted the data as free from political bias.
After Mr Trump's initial post, labour secretary Lori Chavez-DeRemer said on X that Ms 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,' Ms Chavez-DeRemer said.
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 suggested that the economy has sharply weakened during Mr Trump's tenure, a pattern consistent with a slowdown in economic growth during the first half of the year and an increase in inflation during June that appeared to reflect the price pressures created by the president's tariffs.
'What does a bad leader do when they get bad news? Shoot the messenger,' Democratic senate leader Chuck Schumer of New York said in a Friday speech.
Ms McEntarfer was nominated by Mr Biden in 2023 and became the commissioner of the Bureau of Labour Statistics in January 2024.
Commissioners typically serve four-year terms but since they are political appointees can be fired.
The commissioner is the only political appointee of the agency, which has hundreds of career civil servants.
The Senate confirmed Ms McEntarfer to her post 86-8, with now vice president JD Vance among the yea votes.
Mr Trump focused much of his ire on the revisions the agency made to previous hiring data.
Job gains in May were revised down to just 19,000 from a previously revised 125,000, and for June they were cut to 14,000 from 147,000.
In July, only 73,000 positions were added. The unemployment rate ticked up to a still-low 4.2% from 4.1%.
'No one can be that wrong? We need accurate Jobs Numbers,' Mr 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.'
Mr Trump has not always been so suspicious of the monthly jobs report and responded enthusiastically after the initial May figures came out on June 6 when it was initially reported that the economy added 139,000 jobs.
'GREAT JOB NUMBERS, STOCK MARKET UP BIG!' Mr Trump posted at the time.
That estimate was later revised down to 125,000 jobs, prior to the most-recent revision down to just 19,000.
The monthly employment report is one of the most closely-watched pieces of government economic data and can cause sharp swings in financial markets.
The disappointing figure sent US market indexes about 1.5% lower Friday.