President Donald Trump’s boast that the U.S. is experiencing economic “growth” at levels “never seen before” was quickly fact-checked by a damning jobs report.
New data showed private sector employment fell by 33,000 jobs in June, payroll processing firm ADP announced Wednesday.
Not only is this figure far below the estimated gain of 95,000 jobs some economists predicted, it’s also the first decline in private sector jobs in at least two years, reported Axios. ADP’s previous figures from May, initially showing 37,000 additional jobs, were also revised down to 29,000.
“Though layoffs continue to be rare, a hesitancy to hire and a reluctance to replace departing workers led to job losses last month,” Dr. Nela Richardson, chief economist at ADP, said in a statement. “Still, the slowdown in hiring has yet to disrupt pay growth.”
The report landed just hours after Trump praised his “Big, Beautiful” spending bill, which squeaked through the Senate thanks to Vice President JD Vance’s deciding vote, as well as his new tariff plans. Both have sparked fears that they will devastate the economy and drive the deficit up by trillions.
“Nobody wants to talk about GROWTH, which will be the primary reason that the Big, Beautiful Bill will be one of the most successful pieces of legislation ever passed,” Trump wrote on Truth Social. “THIS GROWTH has already begun at levels never seen before. Trillions of Dollars are now being invested into the USA, more than ever before.”
The net loss of 33,000 private sector jobs was driven largely by significant cuts in the service-providing sector, which shed 66,000 jobs overall. Major declines hit professional and business services (-56,000) and education and health services (-52,000). In contrast, the goods-producing sector grew by 32,000 jobs, with manufacturing adding 15,000 and construction gaining 9,000. Leisure and hospitality also managed to grow by 32,000 jobs.
ADP’s numbers are based on payroll data from private firms and are not the official indicator of the overall job market. The next official U.S. jobs report is due from the Bureau of Labor Statistics on Thursday and is expected to show a very different picture.
The government’s Non-Farm Payrolls report could indicate a gain of 110,000 jobs for June, according to Dow Jones estimates.
In a follow-up Truth Social post after the ADP numbers dropped, Trump wrote in his typical all-caps rant: “THE ONE BIG BEAUTIFUL DEAL IS ALL ABOUT GTOWTH [sic]. IF PASSED, AMERICA WILL HAVE AN ECONOMIC RENAISSANCE LIKE NEVER BEFORE. IT IS ALREADY HAPPENING, JUST IN ANTICIPATION OF THE BEAUTIFUL BILL. DEFICIT CUT IN HALF, RECORD INVESTMENT — CASH, FACTORIES, JOBS POURING INTO THE USA. MAGA!!!”
The White House did not immediately respond to a request for comment from The Daily Beast.
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