Midyear 2018 Job Cuts Up 8 Percent Over 2017
Job cuts announced by U.S.-based employers rose 18 percent, from 31,517 in May to 37,202 in June, according to a report released Thursday by global outplacement and executive coaching firm Challenger, Gray & Christmas, Inc.
Last month’s job cuts were up 19.6 percent from the 31,105 announced in the same month last year.
“In a tight labor market, it’s no surprise employers are hanging on to their current workforces, as four months of this year have seen job cut totals under 40,000. However, in the wake of announced tariffs, we may be entering a period of increased cuts going forward,” said John Challenger, Chief Executive Officer of Challenger, Gray & Christmas, Inc.
The second quarter saw 25.3 percent fewer cuts than the previous quarter. Employers announced 140,379 cuts in the first quarter compared to 104,800 in Q2. Second quarter cuts are up 4 percent from the 100,799 announced in the second quarter of 2017. On average, employers announce fewer cuts in the second quarter.