Early Red Flags from Trump's First Month in Office

WASHINGTON (AP) — As President Donald Trump approaches the one-month milestone of his second term, he has taken decisive and rapid actions to transform the social, political, and economic landscape of America while reshaping the nation’s role on the global stage.

In this context, he has enlisted the support of Elon Musk, a billionaire not elected to office, to orchestrate the dismissal of thousands of federal employees and possibly eliminate entire agencies established by Congress.

These initiatives have largely eclipsed Trump’s crackdown on immigration along the U.S.-Mexico border and his attempts to reshape social policy, which include dismantling diversity, equity, and inclusion initiatives and retracting transgender rights.

The administration has also imposed numerous new tariffs on U.S. trading partners and has hinted at further measures, even as economists caution that these actions may raise costs for American consumers and exacerbate inflation.

Here’s an overview of the initial four weeks:

Initiatives for Major Federal Layoffs

The Trump administration initiated the dismissal of thousands of employees during their probationary periods, a standard procedure for new hires, some of whom were given less than an hour to vacate their workspaces.

Those at risk of job loss include various professionals — medical scientists, energy infrastructure experts, foreign service staff, FBI agents, legal professionals, data analysts, overseas aid workers, and human resources personnel responsible for managing terminations.

Within the Consumer Financial Protection Bureau, an agency established for public protection following the 2008 financial crisis, employees report that the administration aims to not only scale back nearly its entire staff but also erase data accumulated over the past twelve years. The agency’s dismantling is currently paused until March 3 due to a judicial ruling.

While Trump pledged to overhaul Washington, the ramifications of these actions could significantly affect thousands of federal workers across the nation and spike the unemployment rate if mass layoffs occur simultaneously.

Legal Challenges Intensify

Legal actions against Trump’s policies began on Inauguration Day and have escalated rapidly since January 20; the administration now faces around 70 lawsuits nationwide disputing his executive orders and efforts to shrink the federal government.

With a Republican-controlled Congress providing limited resistance, the courtroom has become the primary battleground for opposition. Judges have temporarily blocked various aspects of Trump’s agenda, including an executive order that aims to end automatic U.S. citizenship for those born in the country and granting Musk’s team access to sensitive federal information.

Even though many of these judges were appointed by Democratic leaders, Trump has faced unfavorable verdicts from some put in place by Republican administrations as well. He has suggested that he may seek to influence the judiciary, stating, “Perhaps we need to examine the judges.” Meanwhile, the administration plans to appeal these decisions, as White House Press Secretary Karoline Leavitt condemned the rulings hindering the president’s initiatives, labeling each as “an abuse of the rule of law.”

However, the administration has also celebrated some victories, particularly when a judge permitted them to proceed with a deferred resignation program led by Musk.

Economic Outlook Deteriorates

Amidst this policy turmoil, emerging economic data could raise concerns within the White House.

Inflation increased by 0.5% in January, according to the Labor Department. Over the previous three months, the consumer price index rose at an annual rate of 4.5%, indicating a resurgence of inflation after a period of stabilization throughout 2024.

Trump assured voters that he would reduce inflation quickly upon his arrival in office. Nevertheless, Leavitt, while attributing blame to Trump’s predecessor, Joe Biden, acknowledged that recent inflation reports were “worse than anticipated.”

Additional troubling indicators surfaced when the Commerce Department disclosed that retail sales declined by 0.9% in January. Such a substantial drop may suggest waning consumer confidence and sluggish economic growth.

Furthermore, the Federal Reserve reported a 0.1% decrease in industrial production for January, primarily attributed to a 5.2% downturn in the manufacturing of vehicles and their components.

These potential blips will necessitate careful monitoring, particularly as February’s monthly data will be crucial.

The Concept of ‘Fair Trade’

After imposing tariffs on China and preparing to impose import taxes on Canada and Mexico, Trump has introduced what he terms the “big one.” He announced that his administration would develop new tariffs in the upcoming weeks aimed at aligning with tariffs imposed by other nations.

However, other countries do not necessarily view Trump’s approach as fair.

From their perspective, his strategy includes additional factors beyond tariffs, such as value-added taxes, similar to sales taxes. This could result in rates that far exceed standard tariffs in Europe.

Additionally, Trump is preparing to implement separate tariffs on automobiles, computer chips, and pharmaceuticals, in addition to the 25% tariffs on steel and aluminum announced earlier this week.

The intent behind these trade measures remains unclear; it is uncertain whether they are predominantly negotiation tools or revenue-generating strategies, though Trump has implied they serve both purposes.

Congress Confronts Erosion of Authority, But Resistance Emerges

Congress is grappling with the relentless tide as its power — established in the Constitution as the primary branch of government with unparalleled authority over federal spending — is diminishing in real-time.

House Speaker Mike Johnson, R-La., expressed enthusiasm for Musk’s endeavors, stating that Trump is “taking legitimate executive action.”

Yet, even within Republican ranks, subtle resistance is surfacing — through letters and phone calls aimed at preserving the interests of their constituents amid the dismantling of programs, services, and government contracts.

Rep. Carlos Gimenez, R-Fla., urged the Department of Homeland Security to refrain from enacting blanket deportations for Venezuelan migrants who have sought refuge in the Miami area, asserting, “I’m not powerless. I’m a member of Congress.”

Meanwhile, Democratic lawmakers have joined forces with protestors outside closed federal offices, claiming that Trump and Musk have exceeded their limits. They proposed legislation aiming to safeguard various programs and have even initiated impeachment proceedings against the president concerning his plans for Gaza redevelopment.

Trump’s Vision for a New World Order

In a recent conversation with Russian President Vladimir Putin, Trump expressed hopes of paving the way for the termination of the Kremlin’s military actions in Ukraine.

The two leaders agreed to direct their teams to “begin negotiations immediately.” Following the call with Putin, Trump reached out to Ukrainian President Volodymyr Zelenskyy to discuss involving both parties in the dialogue.

This development marks a significant moment in a conflict that has resulted in substantial loss of life and injury.

However, the future remains complex. Zelenskyy has stated he will not engage with Putin until a solid peace proposal is established by Trump. The president has faced backlash from European leaders who criticized him and Defense Secretary Pete Hegseth for implying NATO membership is off the table for Ukraine.

The White House now finds itself in a challenging position, as Zelenskyy demands security assurances from the U.S. and other nations, while insisting that he and Trump must negotiate terms for any peace agreement.