Latest news with #LabourStatistics
CBC
02-08-2025
- Business
- CBC
Trump dismisses weak jobs numbers as 'rigged' and fires labour statistics chief
U.S. President Donald Trump fired the U.S. commissioner of labour statistics after weak jobs numbers signaled tariffs weren't yet leading to his promised economic boom.
CBC
02-08-2025
- Business
- CBC
Trump lashes out after U.S. economic data points to tariff slowdown
U.S. President Donald Trump fired the U.S. commissioner of labour statistics after weak jobs numbers signaled tariffs weren't yet leading to his promised economic boom.
New Straits Times
01-08-2025
- Business
- New Straits Times
Trump orders firing of jobs chief over 'rigged' data claim
WASHINGTON: President Donald Trump said Friday he has ordered the firing of a key economic official, accusing her of manipulating employment data for political reasons – without giving evidence – after a new report showed cracks in the US jobs market. US job growth missed expectations in July, Labour Department data showed, and revisions to hiring figures in recent months brought them to the weakest levels since the Covid-19 pandemic. Trump lashed out at the department's Commissioner of Labour Statistics – Erika McEntarfer – after the report, writing on social media that the jobs numbers "were RIGGED in order to make the Republicans, and ME, look bad." In a separate post on his Truth Social platform, he charged that McEntarfer had "faked" jobs data to boost Democrats' chances of victory in the recent presidential election. "McEntarfer said there were only 73,000 Jobs added (a shock!) but, more importantly, that a major mistake was made by them, 258,000 Jobs downward, in the prior two months," Trump said, referring to latest data for July. "Similar things happened in the first part of the year, always to the negative," he added. But he insisted that the world's biggest economy was "booming" under his leadership. The United States added 73,000 jobs last month, while the unemployment rate rose to 4.2 per cent from 4.1 per cent, said the Department of Labour earlier Friday. Hiring numbers for May were revised down from 144,000 to 19,000. The figure for June was shifted from 147,000 to 14,000. This was notably lower than job creation levels in recent years. During the pandemic, the economy lost jobs. The employment data points to challenges in the key labour market as companies took a cautious approach in hiring and investment while grappling with Trump's sweeping – and rapidly changing – tariffs this year. The numbers also pile pressure on the central bank as it mulls the best time to cut interest rates. With tariff levels climbing since the start of the year, both on imports from various countries and on sector-specific products such as steel, aluminium and autos, many firms have faced higher business costs. Some are now passing them along to consumers. "This is a gamechanger jobs report. The labour market is deteriorating quickly," said Heather Long, chief economist at the Navy Federal Credit Union. She added in a note that of the growth in July, "75 per cent of those jobs were in one sector: health care." "The economy needs certainty soon on tariffs," Long said. "The longer this tariff whiplash lasts, the more likely this weak hiring environment turns into layoffs." But it remains unclear when the dust will settle, with Trump ordering the reimposition of steeper tariffs on scores of economies late Thursday, which are set to take effect in a week. The president also raised tariffs on Canadian imports, although broad exemptions remain. Mortgage Bankers Association economist Joel Kan said that for now, "goods-producing industries saw contraction for the third straight month." "Service industries involved in trade also saw declines in job growth, potentially a result of the uncertain tariff environment, as businesses either put their activity on pause or pulled back altogether," Kan added in a note. A sharp weakening in the labour market could push the Federal Reserve toward slashing interest rates sooner to shore up the economy. On Friday, the two Fed officials who voted this week against the central bank's decision to keep rates unchanged warned that standing pat risks further damaging the economy. Both Fed Vice Chair for Supervision Michelle Bowman and Governor Christopher Waller argued that the inflationary effects of tariffs were temporary. They added in separate statements that the bank should focus on fortifying the economy to avert further weakening in the labour market. Putting off an interest rate cut "could result in a deterioration in the labour market and a further slowing in economic growth," Bowman added.
