In the recent past, employees have been fired from their jobs before they could blink. Some big names including Meta, Amazon, Byju’s, and more have gone on firing sprees.
A new report states that the firing statistics in the United States recorded a two-year high in January.
Layoffs in the US Register Two Year High in January
According to a report released on Thursday, layoffs in the US reached a more than two-year high in January as technology companies cut staff at the second-fastest rate ever as they prepare for a potential downturn.
According to the Challenger, Gray & Christmas Inc. report, 102,943 employees were affected by the layoffs, a more than two-fold increase from December and a more than five-fold increase from a year earlier.
Thousands of jobs were cut last month by businesses like Microsoft Corp, Amazon.com Inc, and Goldman Sachs Group Inc (GS.N) in an effort to weather a demand slump brought on by a decline in consumer and business spending as a result of high inflation and rising interest rates.
After technology, retailers cut 13,000 jobs in January, compared to almost no layoffs a year earlier. In contrast, financial firms cut 10,603 jobs last month, up from 696 positions a year earlier.
Analysts Predict More Layoffs For American Businesses
In order to combat inflation that is still on the higher side despite several rounds of rate increases, the Federal Reserve is predicted to keep raising rates. As a result, analysts predicted that more layoffs may be in store for American businesses.
In 2023, the tech industry was still experiencing a layoff season, and notable companies like Microsoft and Google joined the list. On average, 3,400 or more tech workers are being let go worldwide each day in January.
We recently reported that data from the layoffs tracking website Layoffs.fyi shows that 219 businesses have fired more than 68,000 workers so far in January.
154,336 employees were let go by more than 1,000 companies in 2022, according to data from the layoffs monitoring website Layoffs.fyi.
