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President Donald Trump announced plans to remove Dr. Erika McEntarfer, Commissioner of Labor Statistics, accusing her of falsifying employment data to favor Vice President Kamala Harris ahead of the election.
In a Truth Social post, Trump alleged that McEntarfer, appointed under President Biden, “faked the Jobs Numbers” by overstating job growth figures — citing discrepancies of about 818,000 in March 2024 and 112,000 across August and September. He declared he had instructed his team to dismiss her “immediately” and pledged to appoint “someone much more competent and qualified.”
The decision follows Friday’s disappointing July jobs report, which showed only 73,000 nonfarm payroll jobs added, well below projections. The report also revised down prior data by 258,000 jobs, with the unemployment rate inching up to 4.2%. These weak figures sparked market turmoil, driving stocks lower and U.S. Treasury yields down as traders anticipated renewed Federal Reserve rate cuts starting in September.
Trump also criticized Fed Chair Jerome Powell, accusing the central bank of “playing games” by cutting interest rates twice before the election, which he suggested could aid Harris’s campaign. Powell has faced growing political pressure amid volatile labor data and concerns about the economy’s trajectory.
The firing of McEntarfer marks a rare public clash over the credibility of U.S. labor statistics, which are typically insulated from partisan influence. The controversy adds uncertainty to economic policy discussions just months ahead of the election, with markets closely watching both labor data revisions and the Fed’s next moves on interest rates.
This high-stakes dispute could further intensify debates over government transparency and economic management as the U.S. heads into a heated political season.
