President Donald Trump on Friday dismissed Bureau of Labor Statistics (BLS) Commissioner Dr. Erika McEntarfer, just hours after the agency released a weaker-than-expected July jobs report that sent shockwaves through financial markets.
In a post on Truth Social, Trump accused McEntarfer—appointed during the Biden administration—of manipulating employment data for political purposes. “We need accurate Jobs Numbers. I have directed my Team to fire this Biden Political Appointee, IMMEDIATELY,” he wrote. Trump also claimed that McEntarfer had “faked” jobs numbers ahead of the 2024 election to benefit Vice President Kamala Harris.
The sudden move came after the BLS reported that nonfarm payrolls rose by just 73,000 in July, well below the consensus estimate of 95,000. The agency also revised the prior two months’ data downward by a combined 258,000 jobs—the largest two-month revision since April 2020—bringing the three-month average to just 35,000.
A BLS spokesperson confirmed the termination to CNBC, adding that Deputy Commissioner William Wiatrowski will serve as acting commissioner. The BLS is housed within the Department of Labor, now led by Trump appointee Lori Chavez-DeRemer.
The White House has repeatedly criticized the BLS over large data revisions, including a 2024 adjustment that lowered 12-month payroll gains by 818,000. In his latest budget proposal, Trump called for an 8% staff reduction at the agency, raising concerns about the integrity of future economic reporting. Some BLS reports have increasingly relied on imputed data to fill gaps in survey responses.
“Important numbers like this must be fair and accurate—they can’t be manipulated for political purposes,” Trump added on social media. “McEntarfer said there were only 73,000 Jobs added (a shock!) but, more importantly, that a major mistake was made by them, 258,000 Jobs downward, in the prior two months. Similar things happened earlier this year, always to the negative.”
The market reaction was swift: the Dow fell over 500 points, the Nasdaq dropped more than 2%, and Treasury yields declined sharply. The weak labor data, combined with heightened trade tensions, fueled concerns over economic momentum.
The decision drew sharp criticism from economists and former officials. Peter Mallouk, president of Creative Planning, said the firing “felt like satire” and warned, “This is not healthy. We can’t have someone fired for delivering data that’s unfavorable.”
William Beach, McEntarfer’s predecessor and a 2017 Trump appointee, also condemned the move. “The totally groundless firing of Dr. Erika McEntarfer sets a dangerous precedent and undermines the statistical mission of the Bureau,” he posted on X. “This escalates the President’s unprecedented attacks on the independence and integrity of the federal statistical system.”
Trump also renewed criticism of Federal Reserve Chair Jerome Powell on Friday, accusing him of politically motivated interest rate decisions. “Jerome ‘Too Late’ Powell should also be put ‘out to pasture,’” Trump wrote, claiming the Fed delayed cuts to hurt his reelection chances.
The Federal Open Market Committee left rates unchanged this week, as expected. However, after Friday’s weak employment data, futures markets sharply increased the odds of a September rate cut.
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