The August Challenger report is out.
After Three Consecutive Increases, Layoffs Plunge
JOB CUTS DROP 23% IN AUGUST TO 51,114
This is a nice improvement from the extremely high number last month, however it is still up 47% from a year ago.
United States-based employers announced plans to trim 51,114 workers from the payrolls in August, a 23- per cent decline from July, when the number of job cuts hit a 16-month high of 66,414, according to the report released Wednesday by global outplacement consultancy Challenger, grey & Christmas, Inc. The August decline follows three consecutive increases in the monthly job-cut total that saw job cuts rise from 36,490 in April to the July peak. The August total, however, was up 47 per cent from a year ago, when employers announced just 34,768 job cuts during the month.
Here’s a comment on last month’s spike:
“July job cuts spiked as a result of a handful of surprisingly large jobcut announcements in the private sector. It is too soon to tell whether those cuts were an anomoly, but they appeared to be driven by industry- and company-specific trends, as opposed to larger economic ones. In August, the private sector once again took a backseat to the government sector, which saw job cuts surge to the second highest monthly total this year,” said John A. Challenger, chief executive officer of Challenger, grey & Christmas, Inc.