Trump Fires Top Labor Official After Disappointing Jobs Report Sends Markets Tumbling
Washington, D.C. — August 1, 2025
In a dramatic move that sent shockwaves through Washington and Wall Street, President Donald Trump on Friday abruptly fired Bureau of Labor Statistics (BLS) Commissioner Erika McEntarfer—just hours after a disappointing jobs report rattled the markets.
The July report showed the U.S. economy added only 73,000 jobs, far below expectations, and included a huge downward revision of 258,000 jobs over the past two months. That marked the weakest three-month average for job growth since the early days of the COVID-19 pandemic.
📉 Trump Blames “Fake Jobs Numbers” on Political Bias
Taking to his Truth Social platform, Trump claimed McEntarfer, a Biden-era appointee, was “manipulating” labor data to make the economy look worse under his presidency.
"I was just informed that our Country’s Jobs Numbers are being produced by a Biden Appointee... who faked the Jobs Numbers before the Election to try and boost Kamala’s chances of Victory," Trump wrote.
He continued:
"I have directed my team to fire this Biden Political Appointee IMMEDIATELY. She will be replaced with someone more competent and honest."
The BLS confirmed the termination in a statement, adding that Deputy Commissioner William Wiatrowski will serve as Acting Commissioner for now.
🧾 What the Jobs Report Showed
The July jobs report not only showed a sharp slowdown in hiring, but also included the biggest two-month downward revision since April 2020. Experts say the update significantly weakens the overall trend in labor market growth, raising concerns about the health of the post-COVID economy.
Markets reacted instantly. The Dow Jones dropped over 500 points, the Nasdaq slid more than 2%, and Treasury yields plunged, as investors braced for slower growth.
⚠️ Critics Sound the Alarm on Political Interference
Many economists and financial analysts expressed deep concern over Trump’s decision, warning that firing top statisticians over data results could set a dangerous precedent.
“We can’t have someone fired for simply reporting the data,” said Peter Mallouk, Chief Investment Officer at Creative Planning. “This isn’t healthy. The BLS has always been independent.”
🔁 Trump Targets Jerome Powell Again
In the same post, Trump also reignited his long-standing feud with Federal Reserve Chairman Jerome Powell, accusing him of playing politics with interest rates.
“Jerome ‘Too Late’ Powell should also be put ‘out to pasture,’” Trump wrote, criticizing the Fed’s decision to hold rates steady amid his new tariff policies.
The Federal Reserve, just days earlier, left its benchmark rate unchanged, but markets now widely expect a potential rate cut in September due to slowing economic growth.