The U.S. created 911,000 fewer jobs than previously thought in the 12 months through March
The revision draws fresh attention to the weakening U.S. labor market, which averaged only 29,000 jobs for the three most recent months.
America’s labor market is showing far more weakness than previously believed. According to revised figures released Tuesday, job creation over the past year fell short by nearly a million positions, signaling a sharp slowdown in hiring momentum.
The Bureau of Labor Statistics (BLS) announced that employment gains from April 2024 through March 2025 were overstated by 911,000 jobs. Spread across twelve months, that amounts to about 76,000 fewer jobs created each month than originally reported.
The updated figures underscore the fragility of the U.S. labor market. In fact, the past three months have seen job growth average only 29,000 per month—a pace that many economists say essentially amounts to a freeze. The August jobs report added more weight to those concerns, showing just 22,000 new positions. Compounding the gloom, June’s figures were revised to reveal a net loss of 13,000 jobs.
“The jobs engine that has been integral to U.S. economic growth, defying expectations for the past four years, is stalling,” wrote Sarah House, senior economist at Wells Fargo, in a note last week. That sobering view has gained traction among analysts and policymakers now rethinking the resilience of the post-pandemic recovery.
Immigration Policies Under Scrutiny
Part of the slowdown is being linked to the Trump administration’s immigration approach. Economists at Morgan Stanley pointed out that new restrictive measures may have had a “chilling effect” on labor force participation, hampering overall employment growth. Businesses that have traditionally depended on immigrant workers are struggling to fill vacancies, analysts say, adding pressure to already tight labor conditions.
Manufacturing Takes a Hit
The manufacturing sector—central to Donald Trump’s economic agenda—has also posted steep losses. Over the past year, U.S. factories shed 78,000 jobs, even as the White House has sought to promote a revival in American industry. The data paints a stark contrast between political promises and economic reality.
Fed Decision Looms
Tuesday’s revision comes at a delicate time for the Federal Reserve. With growth cooling and inflation retreating, the Fed is widely expected to announce an interest rate cut at next week’s policy meeting. The weaker labor market data adds fresh justification for a move aimed at providing support to the slowing economy.
BLS in the Political Crosshairs
Annual revisions from the BLS are standard practice, reflecting more complete data. But this year’s adjustment arrives amid heightened political tension. President Trump has repeatedly accused the agency of publishing “fake” numbers designed to undermine his administration—claims made without evidence.
The president escalated his criticism after a disappointing August report, firing the BLS commissioner within hours. He quickly moved to replace the agency head with E.J. Antoni, a conservative economist affiliated with the Heritage Foundation. Antoni has long supported Trump’s policies and once floated the idea of suspending the release of monthly jobs reports before walking back the proposal.
Trump has continued to insist that unfavorable job numbers are manufactured “to make the Republicans, and me, look bad,” despite offering no proof. The latest revision, however, raises its own set of challenges for the administration as it struggles to defend the health of the U.S. economy heading into a critical period.
Thank you for an excellent article!!!
Why did it take so long for this data about last year’s job market to be reported?