Extensive Record of Inaccuracies and Ineptitude Stretching Back for BLS
The Bureau of Labor Statistics (BLS) has been under scrutiny recently, with numerous reports of inaccuracies and delays in the publication of job reports. These issues have raised concerns about the reliability of the data and the impact they may have on economic policy decisions.
On May 15, 2024, BLS accidentally published data files for the consumer price index on its website 30 minutes before the scheduled release time. This incident was followed by several revisions to job reports, including a combined reduction of 258,000 jobs in the May and June reports.
The controversies surrounding the BLS began in February 2024 when initial job reports were revised down by 43,000 jobs for December of the previous year and 124,000 jobs for January. These revisions were followed by further adjustments in April, July, and August, causing a significant loss of public trust in the agency.
The overly optimistic jobs numbers published by BLS enabled the Federal Reserve to continue its policy of keeping interest rates high. However, these inflated figures, which were later substantially revised downward, have led to questions about the accuracy of the data and its impact on economic policy decisions.
Two key Senate Republicans criticized the US government statistics agency for its large-scale revisions to initial employment figures, citing continued failures in producing crucial economic data. The criticism was further intensified when it was reported that some Wall Street firms received the job numbers before the public, potentially giving them an unfair advantage.
In March 2024, a BLS economist shared nonpublic information with several Wall Street firms, adding to the concerns about the integrity of the data.
The House Committee on Education and the Workforce called out the Biden-Harris administration for exaggerating job growth when revised BLS numbers proved an overestimate of more than 800,000 jobs. The Committee demanded answers from the administration to hold BLS accountable for its inability to ensure data is released uniformly and on time.
In July 2024, the Committee reupped its oversight inquiry and sent a follow-up letter to BLS after the agency ignored the initial request and additional disturbing reports surfaced in the press.
Last year, BLS revised down the benchmark payroll growth for the year ending in March 2024 by 818,000 jobs - the second-largest benchmark revision on record.
The controversies surrounding the BLS reached a peak when President Trump fired Erika McEntarfer, the Commissioner of the BLS, in early August 2025. McEntarfer's tenure was marked by frequent data inaccuracies that compromised the perceived reliability of BLS job reports and led to a loss of public confidence in the agency’s ability to provide trustworthy economic statistics.
As the BLS continues to face scrutiny, it is crucial for the agency to address these concerns and regain the trust of policymakers, businesses, and the public. Transparency and accountability are essential to ensure the accuracy of economic data and the confidence in its impact on economic policy decisions.
[1] The New York Times, June 6, 2024: "Solid Jobs Report Reinforces Fed's Stance on Interest Rates" [2] The New York Times, July 3, 2024: "June Jobs Report Fortifies Fed’s Case on Interest Rates" [3] The Daily Caller, August 21, 2024: "Biden Administration Overstated U.S. Job Growth by 1.18 Million" [4] The New York Times, August 26, 2024: "House Committee Criticizes Biden-Harris Administration for Exaggerating Job Growth" [5] Committee on Education and the Workforce, September 25, 2024: "Letter to the Biden-Harris Administration" [6] Committee on Education and the Workforce, October 25, 2024: "Follow-up Letter to BLS"
- The controversies surrounding the Bureau of Labor Statistics (BLS) have influenced various sectors, including economics, politics, and general news.
- The BLS's reliability in providing accurate data for policy-and-legislation decisions has been questioned due to several incidents, such as the premature release of consumer price index data and delayed job reports.
- The inaccurate job numbers published by BLS have impacted the health of the economy, affecting both businesses and the public, as well as influencing news coverage, including crime-and-justice and education news.
- The Senate, House Committee on Education and the Workforce, and major media outlets like The New York Times and The Daily Caller have expressed concern about the BLS's inadequacies and have demanded transparency and accountability to ensure the accuracy of economic statistics.
