It’s hard to extrapolate Challenger data or ADP data (out at 8:15) into the big jobs report coming out on Friday, but you still never want to see the words like “layoffs” and “surge” in the same report.
And yet, from today’s Challenger, grey & Christmas November report, that’s exactly what we get:
The pace of downsizing surged to its highest level in eight months, as employers announced plans to reduce payrolls by 48,711 jobs in November, according to the report released Wednesday by global outplacement consultancy Challenger, grey & Christmas, Inc.
November job cuts were 28 per cent higher than the 37,986 planned layoffs reported in October. It was the highest job-cut total since March, when employers announced plans to cut 67,611.
Despite the increase, job cuts this year are still well below last year’s levels. Last month’s total was 3.3 per cent lower than the 50,349 job cuts announced in November 2009. Overall, employers announced 497,969 job cuts from January through November, a 60 per cent decline from the 1,242,936 layoffs in the same period a year ago.
Leading the November job-cut surge was the government and non-profit sector, which announced 10,761 layoffs during the month. This marks the seventh time this year that the sector was the largest job cutter. Government and non-profit agencies have cut 138,979 jobs this year, 177 per cent more than the second-ranked pharmaceutical industry, which has announced 50,168 job cuts to date.
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