Private Sector Job Creation Fuels US Economic Resurgence
Treasury Secretary Scott Bessent points to private-sector job creation and a shrinking federal workforce as evidence of an economic resurgence in the US. Since January 2025, over one million private jobs have been created while the federal workforce has decreased to its lowest level since the 1960s.
Bessent highlighted these changes on X, emphasizing that 'the private sector is driving America's economic resurgence.' The Bureau of Labor Statistics reported an increase in total nonfarm payroll employment by 162,000 in August, with the unemployment rate holding steady at 4.1%.
House Speaker Mike Johnson also noted manufacturing activity expanded for an eighth consecutive month in August. Billionaire investor Chamath Palihapitiya sees the shrinking federal workforce as 'a very good sign for future innovation and economic expansion,' as he believes there is an inverse correlation between federal bureaucracy and innovation/economic growth.