Trump Fires Labor Stats Chief after July Jobs Miss and Revisions Hit Market
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The president announced the decision on Truth Social. He claimed the commissioner, appointed in 2024 under President Joe Biden, had produced flawed data. Trump alleged the report was manipulated to harm the economy's perceived strength. However, no official evidence supports this claim. Until a replacement is confirmed, Deputy Commissioner William Wiatrowski will serve as acting head of the agency.
Powell in Trump's Crosshairs
In the same post, Trump criticized Federal Reserve Chair Jerome Powell. He called for Powell's removal, citing interest rate decisions that, in his view, counteracted the broader economic policy. On Wednesday, the Federal Open Market Committee voted to hold the benchmark rate steady. Markets have now priced in a strong chance of a rate cut in September.
The BLS also revised May and June job totals lower by a combined 258,000. That brought the three-month average to 35,000, the weakest stretch since April 2020. Economists note revisions are standard and reflect updated data, not political bias. Markets moved lower after the release. The Dow Jones Industrial Average (DJIA) fell over 500 points. The Nasdaq dropped more than 2%. Treasury yields declined as traders adjusted rate expectations.
Data Integrity in Focus
Critics of the decision include William Beach, a 2017 Trump appointee and former BLS chief. He said the move threatens the agency's independence and the reliability of federal data. Multiple public sector groups have raised similar concerns. The Bureau of Labor Statistics is part of the Department of Labor and provides key reports on jobs, inflation, and productivity. Its data is used by investors, businesses, and policymakers.
The White House has promoted prior reports as signs of labor strength. Following the June numbers, it called the figures a 'June Boom.' Trump has frequently highlighted payroll gains while in office. The latest report, along with the firing, raises new focus on how economic data is produced and viewed during the 2025 election cycle.
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