Announced Job Cuts Now at Below Average Levels

Challenger, Gray & Christmas, Inc. announced on Wednesday that planned layoffs at U.S. firms fell for a third straight month in October to a 19-month low.

As we've noted the labor market is continuing to improve as US economic activity rebounds.

Planned job cuts announced by U.S. employers fell to 55,679 in October, down 16 percent from 66,404 in September.

The October job cuts represent the lowest level since March 2008, and are now at or below levels that were normally seen throughout all of 2006 and 2007.

In fact at a 55,679 monthly rate, the cuts are now well below the monthly average cuts for the last three years.

The Challenger report is one more indication that a return to US job growth is just around the corner.

Comments

[doubleguns:]

"a return to US job growth is just around the corner."

Not at this average.

Nov 05 10:01 AM

[herbert hoover:]

"The labor market continues to improve..." How?

My god, a half million people lost their jobs last month and you think that this is improvement? It must be so weird to live in a Wall Street bubble. Think of it this way - there are now another half million HOUSEHOLDS who are not going all out this Christmas Season. You figure it out

Nov 05 10:16 AM

[j-dub:]

"Announced Job Cuts Now at Below Average Levels."

That's not the only thing way below average..................

:O)

Nov 05 10:50 AM

[Rantly McTi...:]

Maybe. Maybe not.
Most job losses aren't publicized where a firm like Challenger can track them.

Nov 05 11:04 AM

[LilBob:]

"The Challenger report is one more indication that a return to US job growth is just around the corner."

More of the "economy snapping back like a rubber band theory"...We aren't going to see a restoration of retail sales and sales-floor jobs for at least a few years while badly burned consumers continue deleveraging; not that it matters that much as most of the big discount retailers that fueled job growth don't offer high paying jobs with benefits anyways. In fact-according to some-many of them don't even seem to be bound to Federal Labor, OSHA or State Department of Labor standards when it comes to such things as Family Leave, Overtime Pay or Working Minor Labor Laws.

That leaves construction, manufacturing, professional services and transportation as the big job providers. The country's so overbuilt we aren't likely to see a return of construction jobs anytime soon. Manufacturing hasn't seen a strong enough decline of the dollar to reverse out-sourcing trends, so barring massive changes in fuel costs or shipping regulations manufacturing isn't likely to come snapping back. Professional Services...doctors, PAs and RNs are all pretty secure but just about every other sector of the economy is still getting hit hard, especially Public School Teachers and State University Professors. Transportation tends to slow down when people don't have a great need to move either themselves, or materials from place to place. So...where are these jobs coming from again?

Nov 05 07:52 PM