US companies announced 43,281 job cuts in September, the lowest since 2022, marking a nearly 20% decline from the previous year. Year-to-date staffing reductions are down almost 40% compared to the same period in 2025. Hiring intentions also weakened, with employers planning to add 90,787 workers — the weakest September hiring numbers since 2011. "Companies are in a wait-and-see period right now," said Andy Challenger, chief revenue officer at Challenger, Gray & Christmas Inc. He cited high energy costs, an uncertain war in Iran, potential rate hikes, and rising healthcare costs as headwinds.
While hiring plans are up slightly year-over-year, the absence of a typical holiday-season hiring surge signals caution. The government’s upcoming jobs report is expected to show unemployment steady at 4.1% and payrolls rising by about 90,000. Market and economic conditions remain the top reason for layoffs, though AI has become the leading cited factor so far in 2025, accounting for 21% of planned dismissals.
Source: Bloomberg Markets · Summarized by HeadlinesBriefing