Treasury Secretary Scott Bessent is highlighting private-sector job creation and a smaller federal workforce, pointing to changes in the U.S. labor market since January 2025.
On Wednesday, Bessent said in a post on X that more than one million private-sector jobs had been created since January 2025 while the federal workforce had fallen to its lowest level since the 1960s. He also said more than 1.3 million additional native-born Americans are working.
Jobs Data
The Bureau of Labor Statistics reported that total nonfarm payroll employment increased by 162,000 in August, while the unemployment rate held at 4.1%. Manufacturing employment increased by 16,000 during the month.
The LinkedIn Workforce Report published last week said U.S. hiring rose 1.9% from July to August but was 6.5% lower than in August 2025.
House Speaker Mike Johnson (R-La.) also pointed to manufacturing activity that expanded for an eighth consecutive month in August. The ISM Manufacturing PMI was 54.6%, down from 55.6% in July, while manufacturing employed nearly 12.6 million workers.
Federal Workforce
Billionaire investor Chamath Palihapitiya called the shrinking federal workforce “a very good sign for future innovation and economic expansion,” saying innovation and economic growth are inversely correlated with federal bureaucracy. BLS data showed federal payroll employment at 2.674 million in August, about 336,000 below January 2025 and the lowest level since May 1966.
Bessent said the changes were “the hallmarks of an economy powered by investment, opportunity, and the American worker.”
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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