Private Sector Job Cuts Ease in October

According to the Challenger, Gray & Christmas, Inc. (CG&C) Job Cut Announcement Report released on Thursday, US-based employers announced 55,597 job cuts in October, a 23.7% decrease from the 72,821 cuts announced in September.

However, that is up 53% year-over-year from the 36,386 cuts announced in October 2023. October’s total marks the seventh time this year job cut announcements are higher than the corresponding month one year prior.

So far this year, companies have announced plans to cut 664,839 jobs, up 3.7% from the 641,350 cuts announced in the first ten months of 2023. It is the highest year-to-date total since 2,162,928 job cuts were announced in 2020. Excluding 2020, it is the highest year-to-date total since 2009, when 1,192,587 cuts were recorded.

Despite drops in job cut announcements in the leading industries, several sectors have cut more jobs this year than last, CG&C noted. Sixteen of the 29 industries Challenger tracks have cut more than 20% more jobs in 2024 than during the same period in 2023.

According to CG&C, job cuts were widespread, with the government sector leading the way, followed by utility and energy; aerospace and defense; retailers; industrial goods; apparel; education; transportation; entertainment and leisure; construction; and media and news. Despite drops in job cut announcements in the leading industries, several sectors have cut more jobs this year than last. Sixteen of the 29 industries Challenger tracks have cut more than 20% more jobs in 2024 than during the same period last year.

In October, US employers announced plans to hire 266,743 workers—including seasonal hiring plans for Amazon (+250,000) and Dick’s Sporting Goods (+8,000). For the year, employers plan to hire 750,333 new workers, the lowest year-to-date total since employers planned to hire 724,510 in 2016.