Layoffs last month reached their highest October total in more than 20 years, with American companies announcing more than 153,000 job cuts — a 175% increase from October 2023, the firm Challenge, Gray and Christmas said.
Employers cited cost-cutting measures and artificial intelligence as the leading reasons for the layoffs.
“Over the last decade, companies have shied away from announcing layoffs in the fourth quarter, so it’s surprising to see so many in October. With the onset of social media, and the ability for workers to share their negative experiences with their employers, the trend of announcing layoffs before the holidays fell away, a practice that seemed particularly cruel,” said Andy Challenger, workplace expert and chief revenue officer for Challenger, Gray & Christmas..
Warehousing led all industries with nearly 48,000 cuts, followed by technology with 33,000. So far this year, job cuts have surpassed 1 million for the first time since 2020.
Finding the next job has been challenging for many Americans. Hiring plans are down 35% from last year, hitting their lowest level since 2011.
Federal government "DOGE" job cuts were the leading reason for layoffs in 2025, with 294,000 direct positions and nearly 21,000 indirect jobs being cut due to DOGE.
Experts expect it to remain a challenging landscape for workers.
“It’s possible with rate cuts and a strong showing in November, companies may make a late season push for employees, but at this point, we do not expect a strong seasonal hiring environment in 2025,” said Challenger.
