Consequences of Trump Administration Policies
Since the beginning of Donald Trump’s second presidential term in January 2025, Pennsylvania—and Chester County in particular—has seen a troubling rise in job losses across critical sectors including healthcare, manufacturing, and agriculture. While multiple factors can influence employment trends, it is increasingly clear that federal policy decisions under the current administration have either directly caused or significantly worsened this economic disruption.
One of the most immediate and impactful blows to the regional economy has been the Trump administration’s abrupt cancellation of over $500 million in federal public health funding for Pennsylvania. This decision has put essential healthcare jobs at risk, particularly those supporting mental health, substance abuse treatment, and long-term care for seniors. Governor Josh Shapiro and state officials have filed suit, describing the decision as a “violation of contract” and a betrayal of commitments made to the state’s most vulnerable populations. While the full economic fallout is still unfolding, many health professionals and support workers across Chester County are already facing job insecurity and program cuts[i].
In addition, a wave of hospital closures has followed in the wake of deregulation efforts and market instability in the healthcare sector, exacerbated by the Trump administration’s continued hostility toward the Affordable Care Act and its failure to support struggling healthcare systems. In early 2025, Prospect Medical Holdings filed for bankruptcy, leading to the closure of Crozer-Chester Medical Center and Taylor Hospital—resulting in the loss of over 2,600 jobs. These closures have not only reduced access to care but have displaced thousands of employees in southeastern Pennsylvania. There is no evident federal plan for recovery or reinvestment to ensure continued access to healthcare in our region.
The administration’s aggressive tariff policies have also had a ripple effect on manufacturing and agriculture—key components of the Chester County economy. Despite claims of protecting American industry, tariffs imposed on imported goods and raw materials from China, Canada, and Mexico have raised the cost of inputs for Pennsylvania manufacturers and farmers. The result has been a drop in competitiveness, lower exports due to retaliatory tariffs, and in some cases, direct layoffs. For example, manufacturing indicators in the Philadelphia Federal Reserve region turned negative in early 2025, signaling a downturn in activity, new orders, and shipments[ii].
In Chester County, unemployment increased from 6,817 job seekers in December 2024 to nearly 9,000 by February 2025, according to YCharts data. These job losses are not isolated incidents, but part of a broader pattern shaped by the administration’s policy decisions. The administration’s freeze on federal funding in January 2025, including for infrastructure, transportation, and education—further threatens the livelihoods of public-sector workers and contractors who depend on stable federal partnerships to deliver local services[iii].
While economic challenges can stem from multiple sources, the evidence in 2025 thus far points squarely to federal policies under President Trump as a major driver of job insecurity in Chester County and beyond. By prioritizing punitive tariffs, undermining public health infrastructure, and destabilizing critical funding streams, the administration has created economic headwinds that working families in Pennsylvania are now being forced to endure.
[i] https://www.healthcaredive.com/news/pennsylvania-josh-shapiro-pushes-healthcare-reform-private-equity/748330/
[ii] https://www.philadelphiafed.org/surveys-and-data/regional-economic-analysis/mbos-2025-05
[iii] https://tradingeconomics.com/united-states/unemployment-rate-in-chester-county-pa-percent-m-nsa-fed-data.html
