US employers have reported a sharp drop in hiring in February, but that has only been the beginning of the downward trend.
As part of the Trump administration’s economic recovery plan, the US has been reducing the unemployment rate to 5.8%, the lowest in nearly three years.
But economists say the country still has plenty of room for further decline.
The US economy is expected to lose about 1 million jobs in the next year as the economy slows, according to the Congressional Budget Office.
The Congressional Budget office, a nonpartisan group of Congress’ top economists, says the economy could shrink by up to 7.4 million jobs by 2026 if Trump’s budget proposal is enacted.
In February, employers reported an average of 2.5 million jobs lost each month.
The latest data is expected this week to show a 2.2 million-job drop.
The latest data, obtained by Bloomberg, shows that employment fell by a stunning 0.6% in February compared with a month earlier.
The US Bureau of Labor Statistics says the unemploymentrate dropped by 0.3 percentage points to 7% in the first nine months of this year.
The Trump administration is also reducing taxes and regulations.
A revised budget released on Tuesday said the government will slash the corporate tax rate to 25% from 35% by 2027, which would raise revenues for the government.
The cuts are part of a broader effort to overhaul tax and regulatory policy, and the White House has vowed to repeal the Affordable Care Act.
The administration has been working to increase tax revenues in an effort to get the federal government to pay down the national debt.
Trump has promised to bring the federal deficit under control within a year.