New Tariffs Could Steal Your Wage Gains Right Out of Your Pocket

The White House’s latest economic boasts paint a rosy picture: 345,000 jobs created since January 2025, prescription drug prices down 2%, and a bold deregulatory agenda saving families thousands. These figures, trumpeted with fanfare, aim to convince Americans that prosperity is here. Yet, beneath the surface, the numbers tell a murkier story, one that raises alarms for workers, families, and the long-term health of the economy.

At first glance, the job growth seems impressive. March alone saw 228,000 new jobs, surpassing expectations. But dig deeper, and the shine fades. Health care and social assistance, sectors driven by demographic necessity rather than policy innovation, led the charge. Meanwhile, white-collar industries like tech stagnate, signaling a labor market less dynamic than advertised. For advocates of equitable growth, this uneven progress is a red flag.

The administration’s narrative leans heavily on selective comparisons, like contrasting job gains with the Biden era’s government-heavy employment. Yet, independent analyses note it’s too soon for new policies to claim credit. The labor market’s resilience owes more to post-pandemic recovery and immigration than to executive orders. This gap between rhetoric and reality demands scrutiny.

For those who value fairness and stability, the administration’s approach—favoring deregulation and tariffs over inclusive investment—feels like a gamble with working families’ futures. The stakes are high, and the risks are real.

The White House celebrates its 10-to-1 deregulatory rule, projecting savings of $935 billion over a decade. Rolling back Biden-era regulations, like the EPA’s tailpipe emissions standards, is pitched as a win for consumers. But these moves come with hidden costs. Environmental advocates warn that loosening climate rules could delay emissions targets, worsening air quality and public health.

Financial deregulation, another cornerstone, raises similar concerns. Easing oversight might spur short-term lending but echoes the pre-2008 era, when lax rules fueled a crisis that devastated millions. Economists caution that systemic risks are climbing, particularly for small banks already strained by recent volatility. For workers and families, the fallout from such instability could be catastrophic.

Supporters of deregulation argue it frees businesses to innovate and hire. Yet, the benefits skew heavily toward corporations and high earners. Real wage growth, while up 0.8% since last year, lags for low-wage workers, and inequality remains near historic highs. The bottom 90% of earners saw just 36% wage growth from 1980 to 2022, while the top 1% gained 162%. Deregulation, far from leveling the playing field, risks widening this gap.

The administration’s deregulatory zeal ignores the value of protections that safeguard workers and consumers. Strong labor standards and environmental rules aren’t burdens; they’re investments in a sustainable future. Dismantling them for quick gains betrays the public’s trust.

Inflation, down to 2.4% in March 2025, offers some relief after years of strain. Gasoline prices fell 6.3%, and core inflation hit its lowest monthly rise since 2021. But the White House’s tariff proposals threaten to unravel this progress. Economists estimate new tariffs could push inflation toward 4% by year’s end, hitting groceries and housing hardest—areas already squeezing household budgets.

Tariffs are sold as a boost for domestic industries, but history tells a different story. During Trump’s first term, tariffs raised costs for consumers without significantly reviving manufacturing. Today, businesses delay hiring and investment, wary of trade disruptions. For low- and middle-income families, who spend a larger share of income on essentials, these policies could erode hard-won wage gains.

Advocates for working families argue that government investment in infrastructure, education, and social programs would do more to strengthen the economy than protectionist measures. The Biden administration’s infrastructure spending, for instance, created jobs while addressing long-neglected needs. Tariffs, by contrast, risk punishing the very workers they claim to protect.

The administration’s economic vision—built on deregulation, tariffs, and selective job growth—offers fleeting gains at a steep cost. Workers deserve policies that prioritize equitable wages, robust protections, and long-term stability, not short-term wins that favor the wealthy. The labor market’s resilience is a foundation to build on, but only if paired with investments that uplift all, not just a few.

Public spending on education, health care, and clean energy could drive inclusive growth while addressing inequality and climate challenges. Stronger labor protections and union support would ensure workers share in prosperity. These aren’t radical ideas; they’re proven strategies for a thriving economy that serves everyone, not just those at the top.