econintersect.com
       
  

FREE NEWSLETTER: Econintersect sends a nightly newsletter highlighting news events of the day, and providing a summary of new articles posted on the website. Econintersect will not sell or pass your email address to others per our privacy policy. You can cancel this subscription at any time by selecting the unsubscribing link in the footer of each email.



posted on 06 July 2017

June 2017 Job Cuts Jump 41 Percent from April

from Challenger Gray and Christmas

Employers announced plans to cut payrolls by 31,105 jobs in June, the lowest monthly total of the year.

The June job-cut total is 6 percent lower than the 33,092 cuts recorded in May*, and 19.3 percent lower than the same month last year, when 38,536 cuts were recorded.

The pace of job cutting is significantly slower compared to the first half of last year. Through the first six months of 2017, employers announced 227,000 planned job cuts, down 28 percent from the 313,754 cuts announced through the first half of 2016. Per John Challenger, Chief Executive Officer of Challenger, Gray & Christmas, Inc.:

In a tight labor market, it's no surprise companies are holding on to their existing workforces. Companies are also waiting to see how proposed regulations from the Trump administration may impact business going forward.

Job cuts in the second quarter totaled 100,799, down 20 percent from the 126,201 cuts announced in the first quarter and 24 percent lower than the 132,834 announced cuts in the second quarter of 2016. Said Challenger.

It is typical to see fewer announced job cuts in the summer months. We have not seen large-scale layoffs this year, as we did in the last two years, especially in the tech and energy sectors.

[note: *Challenger revised May's number down from 51,692 to 33,092. We reported 20,000 job cuts for Ford. Ford is offering 15,000 buyouts to cut 1,400 workers. Our revision reflects the 1,400 confirmed cuts.]

Indeed, through this point last year, oil prices were blamed for 71,075 announced job cuts. Challenger has not tracked any job cuts due to a downturn in oil prices so far this year.

Meanwhile, companies in the technology industry - computer, electronics, and telecommunications - announced 50,161 job cuts through June 2016, 52.5 percent more than the 23,813 tech sector job cuts so far this year. Added Challenger:

Pivoting in the retail sector has led to job cuts, but we are not yet seeing them at the level they were immediately after and during the recession or in 2003, when online shopping really began to catch on.

We've tracked over 5,000 announced store closings this year, as retailers continue to focus operations online. It is likely we'll continue to see cuts in the retail sector going forward, but it remains to be seen if they will mirror the cuts that occurred in the 00's.

Through June, retailers have announced 60,127 job cuts, 42 percent more than the 42,095 cuts the sector announced through the first half of 2016. It is the highest first-half total since 2009, when retailers announced 85,698 cuts. The sector went on to announce 98,807 job cuts that year, the highest annual total since 2003, when 100,518 retail cuts were recorded.

Announced Retail Job Cuts

United States

2017

2016

2015

2014

2013

2012

2011

2010

2009

JAN.

22,491

22,246

6,699

11,394

6,676

12,426

5,755

16,737

53,968

FEB.

11,889

1,096

9,163

3,848

2,279

2,090

8,360

1,534

18,759

MARCH

4,084

8,490

6,640

2,989

16,445

2,175

1,653

2,097

3,821

APRIL

11,669

5,145

3,594

6,993

5,897

2,365

2,900

899

2,927

MAY

5,777

1,287

1,187

472

1,386

1,927

2,944

608

2,657

JUNE

4,217

3,831

17,947

1,167

217

2,807

1,415

4,306

3,566

JULY

1,523

2,532

2,183

1,794

4,135

11,245

812

2,654

AUGUST

1,025

9,601

1,063

873

862

5,901

3,812

890

SEPT.

7,296

2,467

1,965

927

1,519

1,616

441

6,180

OCT.

1,180

5,153

6,874

538

1,013

4,264

1,923

1,643

NOV.

4,850

626

2,640

9,998

1,527

2,285

645

913

DEC.

1,355

249

2,195

2,269

22

2,608

4,937

829

TOTAL

60,127

59,324

65,858

43,783

49,299

32,868

50,946

38,751

98,807

2008

81,621

2007

51,036

2006

53,419

2005

84,954

2004

62,357

2003

100,518

2002

98,661

2001

96,741

2000

44,831

Source: Challenger, Gray & Christmas, Inc. ©

TOP FIVE INDUSTRIES

Year To Date

2017

2016

Retail

60,127

42,095

Health Care/Products

17,920

10,733

Services

15,415

6,176

Automotive

12,570

8,381

Telecommunications

11,367

6,404

MONTH-BY-MONTH TOTALS

2017

2016

January

45,934

75,114

February

36,957

61,599

March

43,310

44,207

April

36,602

64,141

May

33,092

30,157

June

31,105

38,536

July

45,346

August

32,188

September

44,324

October

30,740

November

26,936

December

33,627

TOTAL

227,000

526,915

Some reductions are identified by employers as workers who will take early retirement offers or other special considerations to leave the company.

LAYOFF LOCATION

Year To Date

California

32,630

Texas

21,005

Ohio

20,814

Indiana

17,038

New York

13,777

JOB CUTS BY INDUSTRY

16-Jun

17-May

17-Jun

YTD 2016

YTD 2017

Aerospace/Defense

575

1,408

791

8,316

8,797

Apparel

352

0

Automotive

1,252

1,671

2,174

8,381

12,570

Chemical

2,782

106

156

10,282

556

Commodities

14

1,098

0

Computer

2,736

1,239

2,715

39,589

9,688

Construction

150

147

1,039

937

Consumer Products

618

1,387

1,798

5,591

4,640

Education

485

1,646

1,727

7,631

9,004

Electronics

1,684

1,100

154

4,168

2,758

Energy

1,979

296

143

77,211

8,778

Entertainment/Leisure

2,049

941

1,061

11,368

6,898

Financial

9,052

254

510

15,802

5,911

Food

2,220

1,537

3,814

9,709

11,462

Government

491

85

719

4,860

6,146

Health Care/Products

1,091

3,054

3,597

10,733

17,920

Industrial Goods

1,936

2,236

1,819

20,342

11,162

Insurance

448

4,212

2,220

5,030

Legal

40

56

131

Media

651

262

635

3,149

2,845

Non-Profit

204

29

1,551

1,159

Pharmaceutical

1,080

243

193

6,246

3,928

Real Estate

197

50

122

505

Retail

3,831

5,777

4,217

42,095

60,127

Services

1,873

4,082

3,070

6,176

15,415

Telecommunications

546

552

6,404

11,367

Transportation

1,188

773

1,034

9,095

7,736

Utility

147

168

1,530

TOTAL

38,536

33,092

31,105

313,754

227,000

z%20challenger_jobcuts.png


>>>>> Scroll down to view and make comments <<<<<<




Permanent link to most recent post on this topic

Click here for Historical Releases Listing










Make a Comment

Econintersect wants your comments, data and opinion on the articles posted. You can also comment using Facebook directly using he comment block below.






Econintersect Economic Releases








search_box
Print this page or create a PDF file of this page
Print Friendly and PDF


The growing use of ad blocking software is creating a shortfall in covering our fixed expenses. Please consider a donation to Econintersect to allow continuing output of quality and balanced financial and economic news and analysis.







Keep up with economic news using our dynamic economic newspapers with the largest international coverage on the internet
Asia / Pacific
Europe
Middle East / Africa
Americas
USA Government





























 navigate econintersect.com

Blogs

Analysis Blog
News Blog
Investing Blog
Opinion Blog
Precious Metals Blog
Markets Blog
Video of the Day
Weather

Newspapers

Asia / Pacific
Europe
Middle East / Africa
Americas
USA Government
     

RSS Feeds / Social Media

Combined Econintersect Feed
Google+
Facebook
Twitter
Digg

Free Newsletter

Marketplace - Books & More

Economic Forecast

Content Contribution

Contact

About

  Top Economics Site

Investing.com Contributor TalkMarkets Contributor Finance Blogs Free PageRank Checker Active Search Results Google+

This Web Page by Steven Hansen ---- Copyright 2010 - 2017 Econintersect LLC - all rights reserved