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Government Watchdog Audits BLS After Record Job Data Revision

A government watchdog will audit the Labor Department's BLS after a record 911,000 job growth revision for March 2025, sparking concerns over data accuracy and a weaker job market.

Overview

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  • The Bureau of Labor Statistics (BLS) revised U.S. job growth downward by 911,000 for the 12 months ending March 2025, nearly halving initial estimates.
  • This record revision indicates a significantly weaker job market and raises concerns about a potential economic slowdown across the United States.
  • Unemployment reached 4.3 percent in August 2025, marking the highest level in nearly four years, with significant job losses in the private sector.
  • A government watchdog will audit the Labor Department agency's compilation and reporting of economic data, including jobs and inflation reports from the BLS.
  • The audit follows the BLS's embattled status and prior criticism from both the White House and President Trump regarding its job growth data handling.
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Analysis

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"The audit is the latest example of increasing scrutiny of the BLS as its recent jobs reports have shown a sharp slowdown in hiring over the summer."

ABC NewsABC News
·6d
Article

"The audit is the latest example of increasing scrutiny of the BLS as its recent jobs reports have shown a sharp slowdown in hiring over the summer."

Associated PressAssociated Press
·6d
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"The US economy added 911,000 fewer jobs than previously reported in the year to March, heightening fears of an economic slowdown."

SemaforSemafor
·7d
Article

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FAQ

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The revision was caused by the BLS benchmarking process that incorporates more accurate data from state unemployment records, business birth and death records, and aims to correct errors or non-responses in the monthly surveys. This process showed that previous job growth estimates overstated actual employment by 911,000 jobs over the period from April 2024 to March 2025.

The downward revision indicates a significantly weaker labor market than previously thought, signaling that the economy may be slowing more than expected. It also corresponds with rising unemployment reaching 4.3% in August 2025, the highest in nearly four years, and considerable private sector job losses, which fuel concerns about an economic slowdown.

The government watchdog is auditing the BLS due to concerns about the accuracy and handling of economic data, including jobs and inflation reports, especially following the record downward revision of job growth and prior criticism from the White House and President Trump regarding the BLS's data reliability and transparency.

Large benchmark revisions like the 911,000 job downward revision are uncommon; the annual benchmark revisions over the last 10 years typically average around 0.2 percent of total nonfarm employment, making this revision notably significant relative to recent history.

The final benchmark revision incorporating these adjustments will be issued in February 2026 in the publication of the January 2026 Employment Situation news release.

History

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