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Trump fires labor statistics chief following disappointing July report

  • By Al Mayadeen English
  • Source: The Financial Times + Al Mayadeen English
  • 1 Aug 2025 23:41
4 Min Read

US President Trump dismissed Bureau of Labor Statistics Commissioner Erika McEntarfer after a weak July 2025 jobs report. The move raises concerns over political influence in economic data.

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  • Trump fires labor statistics chief following disappointing July report
    Dr. Erika McEntarfer (Virginia Tech News Website)

US President Donald Trump on Friday ordered the immediate dismissal of Dr. Erika McEntarfer, Commissioner of the Bureau of Labor Statistics (BLS), just hours after the release of a disappointing July jobs report. The report showed significant downward revisions to previously reported employment figures.

In a statement on Truth Social, Trump accused McEntarfer of being a "Biden Political Appointee" who manipulated job data to influence the 2024 presidential election. This unprecedented move marks a direct intervention in the nation's primary economic data agency, raising concerns about the politicization of critical labor statistics.

The July 2025 jobs report revealed that the US economy added only 73,000 jobs, well below economists' expectations of 110,000. More concerning were large downward revisions to prior months. For instance, May's figures were reduced from 144,000 to 19,000, and June's from 147,000 to 14,000. These revisions brought the three-month average job growth down to just 35,000, the weakest pace since the pandemic recession of 2020.

Trump accuses McEntarfer of political bias

In his Truth Social post, Trump alleged that McEntarfer "faked the Jobs Numbers before the Election to try and boost Kamala's chances of Victory." He referenced past revisions in March, August, and September 2024, accusing the BLS of overstating job growth. Trump ordered her immediate removal and pledged to appoint a more "competent and qualified" official.

Trump's post went on to claim that the BLS overstated March 2024 job growth by approximately 818,000 jobs and by another 112,000 just before the 2024 election. He criticized the reliability of BLS data and its potential impact on the electoral outcome.

Understanding labor data revisions

Employment data is subject to routine monthly and annual revisions based on updated information. As more data becomes available, figures are refined. The major August 2024 benchmark revision, showing 818,000 fewer jobs than initially reported for March 2023 to March 2024, represented a 0.5% error margin. This process, based on unemployment insurance records, is driven by established mathematical formulas, not discretionary judgment.

Who is Erika McEntarfer?

Dr. Erika McEntarfer, appointed by President Biden and confirmed with bipartisan Senate support (86-8), became the 16th BLS Commissioner in January 2024. A seasoned economist with over two decades of federal service, she previously held roles at the Census Bureau, Treasury Department, and the White House Council of Economic Advisers. Her career has been marked by nonpartisan, technical work in labor economics.

Despite her deep qualifications and technical background, McEntarfer's dismissal has been viewed by many as politically motivated. Her role has traditionally been considered apolitical, with the BLS operating under long-established, transparent statistical methods.

Broader attacks on economic institutions

Trump also used the opportunity to criticize Federal Reserve Chair Jerome Powell, accusing him of manipulating interest rates to favor Vice President Kamala Harris. Powell, originally appointed by Trump in 2018, has faced ongoing pressure to cut interest rates.

"Jerome 'Too Late' Powell should also be put 'out to pasture,'" Trump wrote, continuing his attacks on economic institutions that traditionally operate independently of the executive branch.

Economists and statisticians have voiced concern over the implications of McEntarfer's firing. Steven Blitz, chief US economist at TS Lombard, told the Financial Times: "Firing the head of the BLS with the aim of making economic statistics bend to the will of the president is not something that befits a first world economy."

The dangers of politicising economic institutions

The BLS is tasked with producing unbiased statistics that inform investors, economists, and policymakers. The agency's work on employment, inflation, and productivity is foundational to US economic analysis.

The dismissal has heightened fears that economic data may be subject to political influence, undermining market confidence and policymaking. Employment figures are crucial in shaping Federal Reserve decisions and influence electoral outcomes, making data integrity a matter of utmost gravity.

  • labor statistics
  • Trump administration
  • Donald Trump
  • jerome powell
  • US economy
  • politicization

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