Corporate America slashes thousands of jobs on recession fears: Cuts jumped 13% ... trends now
Corporate America has slashed swathes of jobs in recent months as it braces for a US recession - and is expected to continue doing so.
In October, layoffs increased by 13 percent - the highest jump since February 2021. US employers also eased their hiring this month, with job creation slowing the most it has since January 2021.
Just 127,000 jobs were created this month, much less than analysts expected and nearly half the 239,000 jobs created in October.
Companies that enjoyed huge growth during the pandemic, particularly those in tech and e-commerce, are starting to pare back on spending ahead of what financial chiefs fear will be trying times.
Major companies like Twitter, Lyft, Stripe, Meta and Amazon have made huge cuts to their workforces, upending a previously stable employer.
In October layoffs increased by 13 percent - the highest jump since February 2021
Just 127,000 jobs were created this month, according to data from the ADP Employment report (Plotted: USBOL data)
US Treasury Secretary Janet Yellen, pictured at the New York Times Dealbook summit on Wednesday, said a four percent unemployment rate could be considered indicative of a healthy labor market
Unemployment rates are currently sitting at 3.7 percent, according to the US Department of Labor statistics.
US Treasury Secretary Janet Yellen said on Wednesday during the New York Times DealBook summit that she was not sure what an acceptable unemployment rate is but said that the Treasury has considered something in the four percent range as indicative of a healthy labor market.
On Monday a top Federal Reserve official told the Financial Times that as the central bank pushes against still-rising inflation rates employment could rise further.
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