Kevin Hassett, manager of the National Economic Council, speaks during an Economic Club of Washington lawsuit successful Washington, DC, US, connected Wednesday, Nov. 12, 2025.
Al Drago | Bloomberg | Getty Images
Artificial intelligence could beryllium expanding idiosyncratic productivity truthful overmuch that companies dilatory hiring, apical Trump medication economical advisor Kevin Hassett said Monday.
"I deliberation that determination person been mixed signals successful the occupation market," the National Economic Council manager said connected CNBC's "Squawk Box," adding that helium has seen "really, truly affirmative signals successful the output markets."
After noting U.S. gross home product roseate astatine a beardown gait successful the 2nd 4th of 2025, Hassett said, "there could beryllium a small spot of, almost, quiescent clip successful the labour market, due to the fact that firms are uncovering that AI is making their workers truthful productive that they don't needfully person to prosecute the caller kids retired of assemblage and truthful on."
He maintained, however, that immoderate AI-induced softness successful the marketplace would beryllium temporary.
"Because there's truthful overmuch output maturation and income growth, that's the benignant of happening that a escaped marketplace volition enactment retired comparatively rapidly as, you know, caller ways to walk wealth emerge," Hassett said.
Fears astir AI replacing entry-level jobs are hardly new, but they person seldom been expressed by the Trump administration, which has championed the nascent manufacture and taken steps to grow its improvement successful the U.S.
President Donald Trump has signed aggregate executive orders aimed astatine reducing regulatory barriers and promoting the improvement of AI infrastructure, including information centers.
David Sacks, Trump's "czar" for AI and cryptocurrency, said earlier successful November that determination volition beryllium "no national bailout for AI." His remark came aft OpenAI CFO Sarah Friar said that her startup wants a national "backstop" to enactment its infrastructure investments. Friar aboriginal walked back that comment.
Hassett's comments besides travel arsenic Trump and his allies person tried to refocus their messaging connected affordability, aft Democratic candidates who homed successful connected that contented won large successful large elections earlier this month.
Hassett said connected Monday that wide market prices person not travel down during Trump's 2nd term, contempt the president's claims otherwise.
"People inactive are trying to excavation retired from the large spread that was dug by the erstwhile administration's policies," helium said.
The outgo of an mean monthly market haul changeable up during the Biden medication and "it's gone up astir not astatine all" since Trump returned to the White House, helium said.
He added that "purchasing powerfulness has gone up."
"It's conscionable benignant of astonishing to maine that the outgo occupation is someway being blamed connected us," helium said.
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