Recent jobs data is going against President Donald Trump’s repeated claims that the U.S. economy is booming, as a new poll shows the country actually lost jobs last month rather than adding them.
Economists reacted with alarm on Wednesday after global payroll processing firm ADP estimated that the U.S. economy shed 32,000 jobs in its most recent monthly report. The figure was a jarring turn from what analysts had predicted and stood in clear contrast to Trump’s repeated claims that job growth has stayed strong during his presidency.
According to CNBC’s reporting, the biggest hit came for small businesses. Companies with fewer than 50 workers cut a staggering 120,000 jobs, more than wiping out the 90,000 jobs gained by medium and large companies combined. The data paints a picture of an economy where everyday businesses, the ones that employ most Americans, are struggling to keep people on payroll.
The November drop was also far worse than economists’ consensus forecast, which predicted 40,000 jobs added. Instead, ADP reported the biggest decline in employment since March 2023. For an administration that has leaned heavily on the narrative of a booming economy, the new numbers were impossible to spin away.
Heather Long, chief economist at Navy Federal Credit Union, reacted bluntly in a post on X after seeing the report. “Yikes,” she wrote. “Most industries were doing layoffs. The only ones still are hiring are hospitality and healthcare.”
Yikes. ADP employment report shows -32,000 jobs lost in November.
Most industries were doing layoffs. The only ones still are hiring are hospitality and healthcare.
But look at employment by firm size. There’s a K-shaped economy among firms, too. Larger companies are still… pic.twitter.com/CsMQ4UAAyZ
— Heather Long (@byHeatherLong) December 3, 2025
Long said the new data confirms what many ordinary Americans already feel, even if their political leaders refuse to acknowledge it. She said the economy is increasingly divided, with big companies holding steady while small businesses are the ones feeling the strain and struggling to stay afloat.
“Larger companies are still hiring,” Long said. “Smaller firms (under 50 workers) are doing the layoffs. It’s been a very tough year for small biz due to tariffs and more selective spending from lower and middle-class consumers.”
That disparity is feeding what economists call a “K-shaped” economy. At the top, major corporations continue to pull in revenue and expand their workforces. On the bottom half of the “K,” small businesses and lower income workers are losing ground, squeezed by higher costs, weaker sales, and consumers who are being more careful with every dollar they spend.
For Trump, the timing of the report could not be worse. He has repeatedly dismissed economic concerns by pointing the finger at his predecessor, President Joe Biden, while insisting that job creation is strong and the U.S. is “winning again.” But the new ADP numbers stand in direct conflict with those talking points, suggesting instead that businesses across the country have begun tightening budgets and shedding workers.
Job losses hitting small businesses, layoffs spreading across most industries, and a widening divide between big companies and everyone else paint a much different picture than the booming economy Trump continues to describe.
And with Americans feeling the squeeze in their own households, flashy claims about economic strength may not hold up much longer against data that tells another story entirely.
