{"id":4162,"date":"2026-07-14T19:13:02","date_gmt":"2026-07-14T19:13:02","guid":{"rendered":"https:\/\/homebuyerrelocation.com\/?p=4162"},"modified":"2026-07-14T19:13:02","modified_gmt":"2026-07-14T19:13:02","slug":"trump-layoffs-responsible-for-most-d-c-job-losses-since-2020-report-finds","status":"publish","type":"post","link":"https:\/\/homebuyerrelocation.com\/?p=4162","title":{"rendered":"Trump layoffs responsible for most D.C. job losses since 2020, report finds"},"content":{"rendered":"
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A new report finds that more than half of D.C. job losses since the pandemic occurred as part of the Trump administration\u2019s federal layoffs, leaving the nation\u2019s capital struggling to attract new workers.<\/p>\n

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Yesim Sayin, executive director of the nonpartisan DC Policy Center, said the D.C. labor market hasn\u2019t been this bleak since the District weathered the 1991-1992 recession and declared bankruptcy in 1996.<\/p>\n

The nonprofit think tank noted this month that the District shed more than 46,000 government and private contractor jobs last year. That\u2019s 57% of a net loss of 79,800 jobs since January 2020, the last month before the COVID-19 public health emergency.<\/p>\n

The remaining 33,800 jobs lost between January 2020 and December 2024 resulted from a contraction of hospitality and service employment during pandemic-related restrictions and teleworking.<\/p>\n

The report warns that the past year\u2019s shrinkage of professional services poses a greater risk to the District\u2019s \u201csuperstar city\u201d economy by hurting its ability to attract an \u201ceducated, well-paid, and engaged workforce.\u201d<\/p>\n

\u201cA weak job market today can have lasting consequences for young workers entering their careers and, over time, make it harder for the District to retain and attract the talent that has driven its economic success,\u201d Ms. Sayin said Tuesday.<\/p>\n

According to the Bureau of Labor Statistics, nonfarm employment in the District dropped from about 805,000 jobs in January 2020 to roughly 725,000 at the start of this year.<\/p>\n

The policy center reported that rising living costs \u2014 including high housing and childcare expenses \u2014 have made it harder to attract workers than six years ago.<\/p>\n

Ms. Sayin urged city officials to \u201crebuild its competitiveness\u201d by embracing the report\u2019s three recommendations for private-sector growth: Expanded apprenticeships for students in fields such as social work, new tax incentives for export-oriented industries and legislation that reduces living costs.<\/p>\n

\u201cThe challenge is creating the conditions for job growth to return,\u201d she said. \u201cYoung people are still moving into the city, but we are not able to retain them as they form households and families.\u201d<\/p>\n

White House spokesman Kush Desai said the report underlines the need for the District to rely less on government spending.<\/p>\n

\u201cFederal largesse that\u2019s subsidized by taxpayers is not a substitute for real and sustainable economic growth led by the private sector,\u201d Mr. Desai said in an email.<\/p>\n

\u201cThe Trump administration remains focused on cutting taxes and slashing red tape to let private businesses, big and small, accelerate economic growth for DC and the rest of the country,\u201d he said.<\/p>\n

The Washington Times reached out to members of the D.C. Council and Mayor Muriel Bowser, who leaves office at the end of the year.<\/p>\n

Researchers at the DMV Monitor, a website sponsored by the left-leaning Brookings Institution and the Metropolitan Washington Council of Governments, endorsed the report\u2019s findings and recommendations.<\/p>\n

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\u201cThe report accurately identifies that this will harm both the young people in question and the region itself,\u201d said Tracy Loh, a Brookings fellow.<\/p>\n

Recent DMV Monitor analyses found softening demand for rental housing in the city and a 5.3% drop in D.C. internship postings from April 2024 to April 2026.<\/p>\n

D.C. job losses have also hurt Maryland and Northern Virginia, where the DMV Monitor found unemployment increases in well-off suburbs led the region last year.<\/p>\n

Brookings estimated last month that the Trump administration cut 29,200 federal government jobs between January 2025 and April 2026 in Maryland alone, \u201cupending the state\u2019s economic foundation.\u201d<\/p>\n

Montgomery and Prince George\u2019s counties have since experienced a net loss of private-sector jobs.<\/p>\n

In contrast, Virginia\u2019s Fairfax, Loudoun and Prince William counties have seen private-sector job growth from expansion of data centers, cloud computing, healthcare and artificial intelligence services.<\/p>\n

Defense and technology expansions have also driven private-sector job growth in Charles County, Maryland.<\/p>\n

Meanwhile, the District\u2019s negative financial outlook has become an outlier in the nation\u2019s broader recovery from the pandemic.<\/p>\n

The D.C. unemployment rate hit 6% in June, compared with 4.2% nationally.<\/p>\n

Chief Financial Officer Glen Lee noted in a June 30 letter to the mayor and council that the District experienced a 6.2% year-over-year loss of 47,000 total jobs in May, driven largely by a 15% decline of 28,000 federal jobs in D.C. since January 2025.<\/p>\n

\u201cWhile the nation sees steady growth, the District\u2019s real GDP and total resident wages have both trended downward during the past year,\u201d Mr. Lee wrote.<\/p>\n

One bright spot for the District has been tourism. Destination DC estimates that the city received 27.2 million visitors in 2025, up 20,000 from the previous year. Visitors spent a record $11.9 billion, up 4% from 2024.<\/p>\n

The city\u2019s tourism bureau expects another bump this year from a higher-than-usual volume of events related to America 250 celebrations.<\/p>\n

LaToya Nkongolo, a former official for Maryland\u2019s Anne Arundel County, said the trends call on the region to embrace new ways of making money.<\/p>\n

\u201cD.C., Maryland and Northern Virginia need a stronger, more diversified economy driven by entrepreneurship and innovation, not permanent dependence on taxpayer-funded jobs,\u201d said Mr. Nkongolo, an analyst at the conservative National Center for Public Policy Research\u2019s Project 21.<\/p>\n

Read more Kentucky GOP warns Beshear against defying Senate vacancy law amid McConnell\u2019s health scare<\/a><\/p>\n<\/div>\n<\/div>\n

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A new report finds that more than half of D.C. job losses since the pandemic occurred as part of the Trump administration’s federal layoffs, leaving the nation’s capital struggling to attract new workers.<\/p>\n","protected":false},"author":1,"featured_media":4161,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[107,6],"tags":[182,39],"class_list":["post-4162","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-local","category-news","tag-d-c","tag-trump-administration"],"yoast_head":"\nTrump layoffs responsible for most D.C. job losses since 2020, report finds - Home Buyer Relocation<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/homebuyerrelocation.com\/?p=4162\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Trump layoffs responsible for most D.C. job losses since 2020, report finds - 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