The U.S. added 911,000 fewer jobs over the past 12 months than was previously thought, according to newly revised figures.
The Labor Department’s Bureau of Labor Statistics said Tuesday that the job growth was likely to have been significantly weaker than reported from March 2024 to March 2025. It is the largest revision ever recorded, according to ABC.
Economists had estimated that the BLS could revise the level of employment from April 2024 through March 2025 down by between 400,000 and 1 million jobs. The level of employment for the 12 months through March 2024 was previously downgraded by 598,000 jobs.
In a statement released shortly after the report, White House press secretary Karoline Leavitt said: “Today, the BLS released the largest downward revision on record proving that President Trump was right: Biden’s economy was a disaster and the BLS is broken.
“This is exactly why we need new leadership to restore trust and confidence in the BLS’s data on behalf of the financial markets, businesses, policymakers, and families that rely on this data to make major decisions. Much like the BLS has failed the American people, so has Jerome ‘Too Late’ Powell — who has officially run out of excuses and must cut the rates now.”
The revision is the first part of the BLS updates of its own job figures, taken from its monthly employer survey as well as data from state unemployment tax records. The official update is due in February.
In order to produce its figures the BLS tracks several key economic indicators, including anticipated hiring and inflation reports, which are released monthly. The agency relies on around 120,000 employers for its data, though it does not include brand new businesses, and often is not quick to register when employers go out of business.
Per the Wall Street Journal, the statistical model used by the BLS includes historical data to estimate such employer “births” and “deaths” to somewhat mitigate the inaccuracies – though it is still not always accurate.
Tuesday’s figures come just weeks after Donald Trump fired BLS Commissioner Erika McEntarfer following a previous July jobs report from the non-partisan agency which showed a slump in employment figures.
The president baselessly called those numbers “phony.”
McEntarfer had served in the federal government for two decades and was confirmed by the Senate in 2024 after being appointed by former President Joe Biden.
“It has been the honor of my life to serve as Commissioner of BLS alongside the many dedicated civil servants tasked with measuring a vast and dynamic economy,” McEntarfer said following her dismissal. “It is vital and important work and I thank them for their service to this nation.”
BLS’s August jobs report was also poor, revealing that the U.S. economy added 22,000 jobs in August — worse than financial experts had expected – as Trump’s global tariffs began to take effect, and the economy shed jobs in June for the first time in four and a half years.
In addition to being hobbled by uncertainty stemming from trade policy, the labor market has also been pressured by the White House’s immigration crackdown, which has undercut labor supply. A shift by businesses to artificial intelligence tools and automation also is curbing demand for workers.
Economists saw little impact from the employment growth revision on monetary policy, with the Federal Reserve expected to resume cutting interest rates next Wednesday after pausing its easing cycle in January because of uncertainty over the impact of tariffs.
