US job cuts surpass 1M from January to October, highest since 2020

The number of job cuts in the US surpassed 1 million for the first time since 2020, up 65% year-on-year, the outplacement and executive coaching company Challenger, Gray & Christmas said Thursday.

The figure rose 175% to 153,074 in October, versus the same month last year, and increased 183% on a monthly basis, it said.

"October's total is the highest for the month since October 2003, when 171,874 cuts were recorded.

"That month, large announcements occurred in retail due to acquisitions and in Telecommunication as cell phones gained wide adoption," it reported.

Challenger, Gray & Christmas added that it is the highest total for October in more than 20 years, and the highest for a single month in the fourth quarter since 2008; like in 2003, a disruptive technology is changing the landscape.

Not only did individual companies announce large layoffs in October, but a higher number of companies announced job cut plans, it said.

Through October, US employers announced 488,077 planned hires, down 35% from 2024; it is the lowest year-to-date total since 2011.