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President Donald Trump dismissed the director of the government agency responsible for monthly employment data after the publication of a report showing that hires slowed down in July and that they were much lower in May and June than what had been previously announced.
In a message published on his social media platform, Trump said that the figures from the Labor Statistics Office had been manipulated for political reasons, declaring that Erika Mcentarfer, the agency director appointed by former president Joe Biden, was to be dismissed.
“I asked my team to immediately dismiss this person appointed by Joe Biden for political reasons,” said Donald Trump on Truth Social. “She will be replaced by someone much more competent and qualified.
The American leader then posted: “In my opinion, today’s employment figures have been rigged to give a bad image of the Republicans and myself.“
Although Mr. Trump has provided no evidence, the accusation of falsification of data was perceived as an explosive action which threatens to undermine the political legitimacy of the economic data of the American government.
For decades, Wall Street economists and investors generally consider that these data are free from any political bias.
The revocation of Mr. MCENTARFER condemned
After Mr. Trump’s first message, Secretary of State for Work, Lori Chavez-Deremer, said on X that Mr. Mcentarfer no longer headed the office and that William Wiatrowski, the assistant commissioner, would be the acting director.
“I support the president’s decision to replace Mr. Biden’s commissioner and ensure that the American people can trust the important and influential BLS data,” said Chavez-Deremer.
But the convictions were quick to follow. A group comprising two former BLS commissioners, including William Beach, who was appointed by Mr. Trump in this position, criticized Mr. Mcentarfer’s dismissal. In particular, they are opposed to the accusation that the data has been changed for political reasons.
“MCentarfer is baseless and undermines the credibility of federal economic statistics which are the cornerstone of intelligent economic decision -making by companies, families and political decision -makers,” said the group’s declaration, the friends of the BLS.
In addition to Mr. Beach, the declaration was signed by Erica Groshen, BLS commissioner under former President Barack Obama.
“Refer the commissioner […] When the BLS revises downward employment figures (as it does regularly) threatens to destroy confidence in fundamental American institutions and in all government statistics, “said Arin Dube, an economist at the University of Massachusetts-Amherst, on X.” I cannot emphasize how much is prejudicial “.
The employment report published on Friday shows that only 73,000 jobs were created last month and that 258,000 less jobs were created in May and June compared to previous estimates.
The report suggests that the economy has greatly weakened during Mr. Trump’s mandate, a scheme coherent with a slowdown in economic growth during the first half of the year and an increase in inflation in June which seems to reflect the pressures on the prices created by the president’s customs duties.
“No one can be mistaken at this point? We need specific figures on employment,” wrote Mr. Trump. “It will be replaced by someone much more competent and qualified. The important figures like this must be fair and precise; they cannot be manipulated for political purposes.”
Trump was not always suspicious of the monthly employment report and reacted with enthusiasm after the publication of the first figures in May, June 6, when the economy had created 139,000 jobs.
“The employment figures are excellent, the stock market is up sharply” posted Mr. Trump at the time.
This estimate was then revised downwards to 125,000 jobs, before the most recent revision to only 19,000 jobs.