Layoff data · United States
2025 & 2026 Layoff Statistics
U.S.-based employers announced 1,206,374 job cuts in 2025. From January through September 2026, they announced 573,195—39% fewer than during the same nine months of 2025.
Data through September 2026 · Page last reviewed
Key layoff statistics at a glance
Scope matters. Except where a full-year comparison is stated, the 2026 figures on this page cover January–September only. “Announced job cuts” are employer plans tracked by Challenger, Gray & Christmas, not a count of completed separations.
2025 vs. 2026 job-cut comparison
The useful year-over-year comparison uses the same January–September period. On that basis, announced cuts fell by 373,231, or 39%, in 2026.
| Measure | 2025 | 2026 | Change |
|---|---|---|---|
| Full-year total | 1,206,374 | Not yet available | 2026 is incomplete |
| January–September | 946,426 | 573,195 | Down 39% |
| September only | 54,064 | 43,281 | Down 20% |
Source: Challenger’s September 2026 report and 2025 year-end report.
2025 layoffs by industry
Government led all industries in announced cuts during 2025, driven primarily by federal workforce reductions. Technology led the private sector.
| Industry | Announced cuts | Change from 2024 |
|---|---|---|
| Government | 308,167 | +703% |
| Technology | 154,445 | +15% |
| Warehousing | 95,317 | +317% |
| Retail | 92,989 | +123% |
| Services | 74,796 | +68% |
2026 layoffs by industry
Technology accounted for 29% of all announced U.S. job cuts through September 2026, more than any other industry. Transportation ranked second.
| Industry | Announced cuts | Year-over-year change |
|---|---|---|
| Technology | 165,925 | +54% |
| Transportation | 44,430 | +190% |
| Health Care/Products | 37,417 | −6% |
| Consumer Products | 30,652 | Not stated |
| Services | 30,084 | −51% |
Source: Challenger, Gray & Christmas, September 2026 report.
AI-cited layoffs and stated reasons
- 2025: Artificial intelligence was cited for 54,836 announced job cuts during the full year.
- 2026: AI was cited for 120,136 announced job cuts through September, approximately 21% of all cuts and the leading stated reason year-to-date.
- Other 2026 reasons: Market and economic conditions accounted for 114,124 announced cuts, closings for 99,092, and restructuring for 79,892.
These are reasons cited in employer announcements. An AI-cited cut does not, by itself, establish that automation directly replaced every affected worker. The full-year 2025 and nine-month 2026 totals also cover different lengths of time.
The official BLS measure for August 2026
The U.S. Bureau of Labor Statistics (BLS) estimated 1.6 million layoffs and discharges in August 2026, a rate of 1.0% of total nonfarm employment. July’s figure was revised to 1.7 million.
BLS Job Openings and Labor Turnover Survey (JOLTS) figures estimate actual monthly involuntary separations and include discharges. Challenger tracks announced job-cut plans. The two series have different coverage and methods, so they must not be added together or treated as interchangeable.
Source: BLS, Job Openings and Labor Turnover—August 2026, published September 29, 2026.
Methodology and primary sources
This page reports U.S. data, preserves each source’s reporting period, and distinguishes announced plans from completed separations. Percentage changes are those published by the sources. Figures may be revised by their original publishers.
- Challenger, Gray & Christmas: 2025 Year-End Challenger Report, published January 8, 2026. Used for full-year 2025 totals, industries, and stated reasons.
- Challenger, Gray & Christmas: September 2026 Challenger Report, published October 1, 2026. Used for January–September 2026 totals, industry rankings, and stated reasons.
- U.S. Bureau of Labor Statistics: JOLTS, August 2026, published September 29, 2026. Used for the monthly layoffs-and-discharges estimate and rate.
Layoff statistics FAQ
How many layoffs were announced in 2025?
U.S.-based employers announced 1,206,374 job cuts in 2025, according to Challenger, Gray & Christmas. This was 58% more than the 761,358 cuts announced in 2024 and the highest annual total since 2020.
How many layoffs have been announced in 2026?
U.S.-based employers announced 573,195 job cuts from January through September 2026. That is 39% fewer than the 946,426 announced during the same nine months of 2025. The 2026 figure is year-to-date, not a full-year total.
How many 2026 job cuts cited artificial intelligence?
Artificial intelligence was cited in 120,136 announced U.S. job cuts from January through September 2026, approximately 21% of all announced cuts. This is the reason given by employers and does not by itself prove that AI directly replaced every affected role.
Why are Challenger and BLS layoff figures different?
Challenger tracks job-cut announcements by U.S.-based employers, while the Bureau of Labor Statistics JOLTS program estimates actual monthly layoffs and discharges across total nonfarm employment. Their coverage and methods differ, so their figures should not be added together or treated as interchangeable.