The report attributes 30,784 of the job losses to ending contracts, such as that of UPS. Market and economic conditions led to 28,392 layoffs, 20,044 were caused by restructuring, and 12,738 were due to closures. AI was responsible for 7,624 job cuts, and tariffs were only attributable to 294 last month.
Meanwhile, job creation did not come close to mitigating these layoffs. The payroll processing firm ADP announced only 22,000 jobs were created last month, the weakest numbers in three months and the worst January since the Covid-19 pandemic in 2021. Most of those job gains came from hiring in the health care industry, and came after 2025 had the weakest annual job growth in 22 years. Unemployment is also up, with 231,000 claims filed in the last week of January, an eight-week high, according to the Department of Labor.
All of this belies Trump’s claims that everything is going well and that his policies are good for American businesses and workers. His administration has resorted to pushing fake statistics to prop up its claims, but Trump can’t cover up the fact that more and more Americans are struggling to afford basic needs. All of this bad news is self-inflicted, as Trump has sabotaged an economy that was actually much better under Biden.
