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| Economy |
| Layoffs surged 136% in January to second-highest level on record |
| 2024-02-02 |
| [FoxBusnessNews] US job cuts skyrocket at beginning of 2024. The pace of job cuts by U.S. employers accelerated at the start of 2024, a sign the labor market is starting to deteriorate in the face of ongoing inflation and high interest rates. That is according to a new report published by Challenger, Gray & Christmas, which found that companies planned 82,307 job cuts in January, a substantial 136% increase from the previous month. However, that is down about 20% from the same time one year ago. It marked the second-highest layoff total for the month of January in data going back to 2009. "Waves of layoff announcements hit U.S.-based companies in January after a quiet fourth quarter," said Andy Challenger, senior vice president of Challenger, Gray & Christmas. The cuts were "driven by broader economic trends and a strategic shift towards increased automation and AI adoption in various sectors, though in most cases, companies point to cost-cutting as the main driver for layoffs." Financial companies bore the brunt of the job losses in January, with the industry shedding 23,238 employees. That is the highest monthly layoff total for the financial sector since September 2018, when it announced 27,343 job cuts. The technology sector followed with 15,806 layoffs, the most since May 2023 and a stunning 254% increase from just one month prior. "The impact of rapidly advancing artificial intelligence adoption is beginning to be felt from a jobs perspective, particularly in media and tech, but truly across sectors," Challenger said. "That said, companies are not outright blaming AI for many layoff decisions." Food production companies also accounted for a large swath of the job cuts in January, slashing 6,656 positions — the highest monthly total for the sector since November 2012. Challenger said that "high costs and advancing automation" are reshaping how the industry operates. The sector is battling headwinds like climate change and immigration policies that affect labor dynamics, according to the report. |
| Posted by:Skidmark |
| #4 In my local area Maryland dramatic cuts in hours. They just went to $15 dollars an hour. Business has really slowed across the board except at ABL rocket center. |
| Posted by: Dale 2024-02-02 18:21 |
| #3 When the tell you that the economy is great, that’s not rain making your leg damp. |
| Posted by: Super Hose 2024-02-02 16:26 |
| #2 Inside The Most Ridiculous Jobs Report In Recent History |
| Posted by: M. Murcek 2024-02-02 12:41 |
| #1 notwithstanding the layoffs, this morning's January BLS jobs report was 'warmer' with payroll employment up 350k and upward revisions to the Nov and Dec numbers. The only 'cooler' figures were declines in average workweek. |
| Posted by: lord garth 2024-02-02 12:38 |