White House defends labor official firing amid data credibility concerns

WASHINGTON: Top White House economic advisers defended President Donald Trump’s abrupt firing of Bureau of Labor Statistics (BLS) Commissioner Erika McEntarfer, countering criticism that the move risks undermining confidence in U.S. economic reports.

U.S. Trade Representative Jamieson Greer told CBS that Trump had “real concerns” about the data, while National Economic Council Director Kevin Hassett stated the president “is right to call for new leadership.”

Hassett cited Friday’s BLS report, which revised May and June job figures downward by 258,000 positions.

Trump accused McEntarfer of manipulating jobs data without evidence.

The BLS, responsible for key economic indicators like employment and inflation reports, attributed revisions to updated business submissions and seasonal adjustments.

McEntarfer called her tenure “the honour of her life” in a Bluesky post after her dismissal.

Critics, including former BLS leaders, condemned the firing.

William Beach, ex-BLS commissioner, emphasised that revisions are routine: “Every year we’ve revised the numbers… There is no way for a commissioner to rig the jobs numbers.”

Former Treasury Secretary Larry Summers dismissed Trump’s claims as “preposterous,“ noting data is compiled by hundreds of professionals following strict protocols.

The BLS surveys 121,000 employers monthly, but response rates have dropped from 80.3% in 2020 to 67.1% in July.

Revisions account for late submissions, with final data typically stabilising after three months.

Friday’s downward adjustment of 125,000 jobs for May marked the largest since March 1983, excluding pandemic-era anomalies.

Bank of America CEO Brian Moynihan warned that erratic revisions could erode public trust, urging improved data transparency.

Meanwhile, Trump’s tariffs and economic policies continue to stir global market volatility. – Reuters

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