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Trump’s Job Market Pledges Falter as Hiring Slows and Inflation Rises

Associated Press
September 6, 2025 | 3:14 pm
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A person waits in a line for a prospective employer at a job fair, Thursday, Aug. 29, 2024, in Sunrise, Fla. (AP Photo/Lynne Sladky)
A person waits in a line for a prospective employer at a job fair, Thursday, Aug. 29, 2024, in Sunrise, Fla. (AP Photo/Lynne Sladky)

Washington. The US job market has shifted from healthy to sluggish during President Donald Trump’s first seven months back in the White House, as hiring slowed sharply and inflation began to climb under his tariffs.

Employers added just 22,000 jobs in August, according to Friday’s report, while the unemployment rate edged up to 4.3 percent. Factories and construction firms shed workers. Revisions showed the economy lost 13,000 jobs in June, the first monthly decline since December 2020, at the height of the COVID-19 pandemic.

The data underscored the widening gap between Trump’s promises of roaring growth and the weaker reality. Trump, who has urged Americans to be patient, said stronger numbers could be a year away.

“We’re going to win like you’ve never seen,” he said Friday. “Wait until these factories start to open up … you’re going to see things happen in this country that nobody expects.”

Economic confidence has slipped. Trump’s approval rating on economic leadership has fallen to 38 percent in July from 56 percent in early 2020, according to an AP-NORC poll. Democrats blame Trump’s tariffs and unpredictable policies, while the president points to the Federal Reserve for not cutting interest rates further.

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The slowdown has hit unevenly, with manufacturing, construction, and energy shedding jobs despite Trump’s promises to revive them, while Black unemployment climbed to 7.5 percent, the highest since October 2021; at the same time, consumer prices rose from a 2.3 percent annual increase in April to 2.7 percent in July, and electricity costs are up 4.6 percent so far this year.

At a dinner with top tech executives this week, Trump promised artificial intelligence investments would deliver unprecedented job growth within a year. But economists remain skeptical. Michael Strain of the American Enterprise Institute said Trump’s claim of “rigged” jobs data clashes with his call for patience.
“If the data are manipulated, what are we waiting for?” he asked.

The White House insists the economy is fundamentally sound, citing low inflation, solid income growth, and 3% projected GDP expansion this quarter. Still, analysts like former Biden aide Daniel Hornung warn of broad-based weakness in goods-producing sectors.

Trump allies argue the US is merely adjusting to a new model of higher tariffs and stricter immigration, while political strategists say the real test will come closer to the 2026 midterms.

“It’s still up for grabs,” pollster Frank Luntz said. “The deciding point will come Labor Day of 2026.”

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