Challenger Reports August Job Cuts -86% Lower Year-Over-Year and the Lowest Level Since June of 1997

According to the latest Job Cut Report from Challenger, Gray & Christmas (CG&C) Inc., a global outplacement and business and executive coaching firm, U.S. based employers announced 15,723 job cuts in August, down -17% from the 18,942 cuts announced in July. August 2021’s total is the lowest since in June 1997, when 15,091 job cuts were announced. The August 2021 total is -86% lower than August 2020, when 115,762 cuts were announced.

In a statement prepared for the release of the August report, Andrew Challenger, Senior Vice President of CG&C said, “Companies are much more concerned about their talent getting poached than with finding ways to cut staff. They are in full retention mode.” Challenger added, “The ongoing downturn in supply of labor may very well speed up the adoption of robotics for many companies. While care-related positions are not likely to be replaced, any process that is repeatable, routine, and programmable could be automated, and would help alleviate the shortage of talent.”