Record Layoffs in October: Government Sector Most Affected with 300,000 Cuts, Compared to 37,746 Last Year
In a striking development, job reductions in the United States surged to unprecedented levels in October, as documented in a report released by Challenger, Gray & Christmas on Thursday.
This marks a dramatic 175% increase from the same month in the previous year and represents the highest October spike since 2003.
To date, layoff announcements have surpassed one million in 2025, a noteworthy milestone.
As of October, a staggering 1,099,500 job cuts have been reported—a 65% rise from the 664,839 reductions recorded during the same ten-month period last year.
“This October total is the highest seen in over two decades, as well as the most significant single-month total in the fourth quarter since 2008. Similar to 2003, disruptive technologies are reshaping the employment landscape,” the report indicated.
Cuts by Sector and Underlying Causes
The government sphere bore the brunt of these reductions, experiencing an astonishing 300,000 layoffs, markedly higher than the mere 37,746 cuts made last year.
The report identifies “DOGE Impact” as the primary driver behind the layoff announcements in 2025, accounting for 293,753 projected job eliminations so far this year.
In October alone, cost-cutting measures were cited as the predominant reason for layoffs, contributing to 50,437 announced reductions.
Artificial Intelligence (AI) emerged as the second most prevalent cause, resulting in 31,039 job losses; over the course of the year, AI has been linked to 48,414 layoffs.
The technology sector alone reported 33,281 job cuts in October, a stark rise from 5,639 in September.
The media sector also witnessed a notable 26% uptick in job reductions this year. Warehousing led all industries with a staggering 47,878 layoffs announced this month, a sharp increase from just 984 in September.
This sector has collectively eliminated more than 90,000 jobs this year, marking a daunting 378% rise compared to the 18,904 cutbacks noted during the same timeframe last year.
The report suggests, “This surge indicates persistent overcapacity and automation-driven restructuring following the growth spurred by the pandemic.”
Over the past decade, companies have generally refrained from announcing layoffs in the fourth quarter, making the October figures particularly surprising.
The rise of social media has enabled workers to openly share their adverse experiences with employers, thereby diminishing the once-common practice of disclosing layoffs before the holidays—an approach that often felt notably harsh, the report concluded.
Source link: Newsbreak.com.
