U.S. added 911,000 fewer jobs through March, BLS says

The U.S. added far fewer jobs than previously thought in the 12 months leading up to March, the government said Tuesday.

The Bureau of Labor Statistics revised the job-creation total down by 911,000 positions, indicating a slowdown before President Trump’s inauguration and enactment of sweeping tariffs.

The leisure and hospitality sector had 176,000 fewer jobs, professional and business services saw a downward revision of 158,000, and retail trade was down 126,000 in the report.

The BLS revises its job numbers based on a quarterly census of employment counts that is subject to updates and errors.

The revision was on the high end of Wall Street estimates and adds pressure on the BLS.

Mr. Trump and his allies questioned the accuracy of job numbers after a series of large revisions and disappointing monthly job reports over the summer.

Labor Secretary Lori Chavez-DeRemer said the revision gave the American people “even more reason to doubt” the bureau’s figures, so it needs reform.

“Leaders at the bureau failed to improve their practices during the Biden administration, utilizing outdated methods that rendered a once reliable system completely ineffective and calling into question the motivation behind their inaction,” she said on X. “We’re committed to finding solutions to these problems, including by modernizing to improve transparency and deliver more accurate and timely data for American businesses and workers.”

Mr. Trump fired BLS chief Erika McEntarfer and selected E.J. Antoni, an economist at the conservative Heritage Foundation, to replace her.

However, monthly job reports continued to disappoint after the firing.

The U.S. added only 22,000 jobs in August, a slowdown from the 79,000 positions added in July.

Health care appeared to be the only sector engaged in robust hiring, raising questions about the health and balance of the job market.

While many cheer Mr. Trump’s tariffs, some economists warn they cause added costs and uncertainty for employers.

However, the BLS revision suggests hiring was weakening before his trade agenda took effect.

Jason Miller, a former senior Trump adviser, said the president “inherited a terrible situation, but has already been turning it around.”

Writing on X, he also said Mr. Antoni should be confirmed “ASAP.”

Senate Minority Leader Charles E. Schumer, New York Democrat, said there was blame to go around.

“The job market was already struggling when Donald Trump took office, and he has made it much worse,” he said on the Senate floor. “The economy is clearly getting worse under Donald Trump’s stewardship. His policies are leaving the American people holding the bag, and they don’t like it.”

Sen. Bill Cassidy, Louisiana Republican, focused on the need to reform BLS accounting.

“Jobs reports have always required revisions, but the initial numbers continue to get less and less accurate,” he said in a statement. “When BLS fails to deliver accurate jobs data, it has serious implications for the economy and families’ pocketbooks. Policymakers are unable to make informed decisions.”

The hiring slowdown will increase pressure on the Federal Reserve to slash interest rates when it meets next week.

The Fed has been reluctant to cut rates due to fears of tariff-induced inflation, though economists and investors now expect a cut of at least 25 basis points, or 0.25%.

Mr. Trump says the Fed should have acted sooner to give borrowers better terms and juice the economy.