Welcome to POLITICO’s West Wing Playbook, your guide to the people and power centers in the Biden administration. Send tips | Subscribe here | Email Eli | Email Lauren The May jobs report this morning underscored the paradox that is the economy in the Biden era. The topline data showed job growth, rising wages and low unemployment. All good! But at the same time, the strong report dampened hopes from some Democrats that the Federal Reserve could soon lower interest rates and deliver a boost to JOE BIDEN's reelection bid. Not so great for the president. Most Democrats believe the issue confronting Biden on the economy is one of perception, not actual metrics — as our ADAM CANCRYN gets at today. It’s also a dynamic that Acting Labor Secretary JULIE SU discussed in an interview with West Wing Playbook. Su, who is hitting the road for the administration’s “Good Jobs Summer” tour, talked about why voters might be more lukewarm to a hot economy and what the Biden administration can do about it. The conversation below has been edited for length and clarity. Was there anything in the May report that surprised you? I think the story now is those who bet against the recovery — those who said it was going to be too hot or it was going to crash — we’ve demonstrated that this is about as soft a landing as you would ever want. This is very close to what the president predicted and wanted to see happen a year ago. Talk to me about the perception versus reality problem the Biden administration is facing. The data shows a strong economy, but polls indicate that voters don’t feel that way. All of us have been through a lot. The global pandemic pulled the rug out from under people. In January 2021, when the president came into office, it’s important to remember that Covid was raging. There was no national strategy to address it. Unemployment was extremely high and people were worried about whether they could get toilet paper when they needed it. We’ve moved dramatically away from that. But it’s important to remember that it was not that long ago that there was so much insecurity. So it’s a Covid hangover and a lingering fear that things could change overnight? Yes, I think it’s that trauma and it’s the economic impact of that. This recovery — people still talk about ‘how is this possible?’ Our job is to continue to exercise our responsibility to deliver on this vision that the president has had. The more we do that, the more I think people will keep feeling it. Are there specific messages that you plan to lean into in the coming months? The president has been very clear that he is the most pro-worker, pro-union president this country has ever had. Continuing to listen to workers, and to invest in workers and [to say] ‘we’ve got your back’ is very important. I talk about how we are trying to create the high road to the American Dream, making sure that everybody has real opportunity. We have to make sure that the investments the president has gotten across the finish line are really making a difference in communities. Do you see the UAW win in Chattanooga as a sign of labor resurgence in the South and the potential to reshape the political landscape? I see it as workers wanting better working conditions, better lives and a voice in their workplace, and being willing to take some risks to get it. But I also see it as the positive effects of union contracts. I talked about how there’s the wage bump, not just for union workers, but for non-union workers. President Biden announced a new plan this week to shut down the border when illegal border crossings pass a certain number. Could that have an impact on the U.S. labor market? No, I don't think it will impact the kind of growth that we’ve seen or the strengths of our labor market overall. Immigrant workers have been a part of the economic growth that we’re seeing. And what is so important to note here is that under President Biden, we’re not talking about a shrinking pie that has to be divided into smaller and smaller pieces for more people. We are seeing a growth in the overall pie. You are still in an “acting” role. Does that impact your ability to carry out certain parts of the job? I’m just extremely proud to get to serve this president in this moment. MESSAGE US — Are you SHANNON RICCHETTI, associate director for the office of the social secretary? We want to hear from you. And we’ll keep you anonymous! Email us at westwingtips@politico.com. Did someone forward this email to you? Subscribe here!
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