Washington, D.C., USA – 10 September 2025
The U.S. job market was significantly weaker than originally believed, according to a preliminary report from the Bureau of Labor Statistics (BLS). The data, part of a routine annual revision, reveals that the economy created 911,000 fewer jobs between April 2024 and March 2025 than initially reported, sparking a debate over the true strength of the economy and the reliability of federal data.
The massive downgrade is the largest preliminary revision on record and paints a drastically different picture of the U.S. labor market. Instead of creating an average of 147,000 jobs per month, the revised data suggests the monthly average was just over 70,000. This news comes just days after a weak jobs report for August, which showed the economy only added 22,000 jobs.
The Economic and Political Fallout
The revision is more than a statistical adjustment; it has immediate economic and political implications. The data has prompted economists to argue that the U.S. economy had less momentum heading into the current year than previously thought. The downward revisions were concentrated in key sectors of the economy, including leisure and hospitality (down by 176,000 jobs), professional and business services (down by 158,000 jobs), and retail (down by 126,000 jobs).
The new data could also influence the Federal Reserve’s decisions on interest rates. A weaker labor market would likely give the Fed more reason to consider a rate cut at its next meeting to stimulate the economy.
The report has also become a political flashpoint. The White House, in a statement, has used the data to highlight that the economy they inherited was not as strong as it appeared. Critics, however, have seized on the size of the revision to question the accuracy of the BLS’s methods, with some accusing the agency of political manipulation. The BLS maintains that such revisions are a normal and necessary part of their process, as they incorporate more comprehensive data from unemployment insurance tax filings that become available months after the initial monthly reports.
The final benchmark revision, which will be incorporated into official government estimates, is set to be released in February 2026.
