No boom in jobs for Trump's baseOne year into his presidency, Trump's promise of "millions and millions of blue-collar jobs" is a bust
Stronger than expected jobs numbers have the White House crowing about a booming Trump economy. The Bureau of Labor Statistics (BLS) reported that the economy added 130,000 jobs in January, which Secretary of Labor Lori Chavez-DeRemer claimed as “proof that President Trump’s America First policies are working their magic.” “Magic”? Make that sleight-of-hand. Other numbers released by BLS betray a labor market that’s shaky at best, especially for the workers Trump claims to champion. The “millions and millions of blue-collar jobs” Trump promised have yet to materialize. In fact, they continue to vanish. First, it’s important to point out, as other analysts have noted, that the January jobs number was accompanied by a massive downward revision in job creation for 2025, from 584,000 job created to a scant 181,000. This terrific chart from MS Now’s Steve Benen puts this new number in context. Second, almost all of the jobs created in January were in just two sectors, healthcare (82,000 jobs) and social assistance, e.g., therapists, counselors, and social workers (42,000 jobs created). Both sectors are facing massive cuts, thanks to the “One Big Beautiful Bill” passed last summer, which includes more than $800 billion in cuts to Medicaid over the next ten years, along with drastic reductions in other social programs. These job gains, in other words, may not last long. Now the bad news for Trump’s base:
It’s not hard to divine why Trump’s economic policies have failed to deliver for his base. His tariffs, for instance, are doing more to suppress US manufacturing than to encourage it. Even the US Chamber of Commerce—typically a stalwart Republican ally—put out a series of reports last fall complaining about the tariffs’ impact on US manufacturers. Deportations shrink economic and job growth too, when there are fewer people working to contribute to the economy or who are available to buy goods and services. In a December 2024 analysis, the Congressional Joint Economic Committee estimated that fulfilling Trump’s goal of mass deportations could diminish US GDP by as much as 7.4 percent by 2028. January’s job numbers are a testament to the US economy’s resilience despite the assault from Trump’s policies. But as Trump continues to pursue his economic follies, don’t expect our luck to hold out. |